Forex Technical Update
June 13, 2010
- Daily: Since last stalking the USD/CHF, it has taken another week for the topping action to complete. I am anticipating that a second part of the correction is to come and it would be a (c) wave, which could have potential to be strong. The daily, shows a possible wave count, where the pair may be in wave (iv). (c) can be supported at 1.1250, but an aggressive target may be the 1.0950 area.
- 4H and 1H: The 4H chart shows the break below rising channel support, and then a pullback. The strength of the bullish 4H candle suggests the pullback may extend a bit further.
- The 1H chart shows the momentum swinging to oversold, then back to overbought territory, suggesting the market start to gain bearish bias in the short-term, but in the near-term, bullish momentum has returned.
- If the market breaks above 1.5760 (61.8% retracement), this bearish outlook may be in trouble. A break below 1.1450, and RSI in 1H below 40 should be confirmation for a wave (c) development.
Fan Yang
Currency Analyst
Commodity Trading Advisor
Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analyses.
All screenshots are made from VT Trader 2.0 and are of actual market data at the time of the screenshot.
