- Daily and 4H: We see that the USD/CHF pair has been in sideways action since the beginning of February. There is a “rounded-top” type dynamic in this consolidation, so there is still a chance the market would have a correction to the 1.05 area.
- This outlook requires a break below the 1.065 area to confirm.
- Weekly: Looking at the weekly time-frame, it DOES indeed confirm that bearish forces are in place after a completed bearish gartley near the 50% retracement area.
- However, if the market breaks above 1.09, then a possible target is the 1.110/1.12 area, which is 61.8% retracement of the downswing that started at 1.20 in March 2009.
Fan Yang
Currency Analyst
Commodity Trading Advisor
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