U.S. Markets close in 37 mins

USD/CHF Channel Breakthrough; Support at .9760

Jamie Saettele, CMT


eliottWaves_usd-chf_body_usdchf.png, USD/CHF Channel Breakthrough; Support at .9760

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Are you new to FX or curious about your trading IQ?

FOREXAnalysis: An inverse head and shoulders pattern that began exactly 8 months ago (9/14/12) was confirmed last week in the USDCHF. The target from the pattern is 1.0111. In the ‘year of the breakout’, ignore such patterns at your own risk. The top side of the pattern’s neckline served as support last Thursday and price has tested corrective channel resistance on 3 days since last Wednesday. The break above the channel suggests that the rally is accelerating (the blue channel is a microcosm of the black channel). .9760 is now support and bull risk is moved up to .9645. If price fails to hold .9645, then .9570 becomes estimated support.

FOREXTrading Strategy: Bullish above .9645 with 1.0100 target.

LEVELS: .9653 .9715 .9760 .9898 .9971 1.0100

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.