March 25, 2011 – EUR/CHF on a Bullish Breakout Targeting 1.3130 and 1.3280
Simple Moving Average(SMA) 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Fibonacci Study
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
Multiple Time-frame Analysis
EUR/CHF in Diagonal Triangle…(3/21)
EUR/CHF
Short and Medium Term
- Since the last look at EUR/CHF the market did indeed complete an (a) wave and then a (b) wave, and is likely now on a (c) wave.
- Note the RSI breaking above 60, invaliding bearish momentum, reflecting possible sideways action.
- If there is wave equality, we can have 2 targets, 1.3130 as the conservative and 1.3280 as a more aggressive one.
- Looking at the daily chart, we also see a pivot just above 1.30, and channel resistance at 1.32. A break above 1.33, establishes the range between 1.24 and 1.32 as a bottom and we can target the 1.3850 area.
- The bullish scenario should be confirmed by a break in the RSI above 70 for the daily chart.
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Fan Yang CMT
Chief Technical Strategist
FXTimes
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 analysis.
he GBP/CHF might finally have topped off after a sharp rally from 1.44 to 1.54 (a 1000-pip swing).
- There is a cluster of 61.8% fibonacci retracement level, psychological resistance at 1.54, as well as a previous support for a double top that was broken (after which, the slide from 1.60 extended to 1.44.
- This volatile pair also has the RSI now failing to sustain a break above 60 – all these are signs of topping.
- The 4H chart also shows the topping action in more detail, and lays out some fibonacci retracement levels as targets for conservative bearish scenarios.
