USD/CHF
Short-term forecast-
The pair has been in an uptrend from 0.87 levels. It rallied up to weekly 21EMA, again moved to the lower levels and made a double bottom at 0.87 levels. Currently it has rallied up to 40EMA and halted its journey at the 23.6 fib level at 0.90 levels. On the up side, if the pair closes above the 0.90 levels, the next bull run will take the pair towards 0.9059, 0.9080, above this, 0.9157 levels. On the down side, until the bar closes above the 0.90 level, it will correct up to 0.89, 0.8873 and 0.8812 levels.
Weekly review- May 30-June 6
The pair is trading at 0.8975. As we recommended earlier in our previous articles, hold shorts with sl 0.8990 on a closing basis, the pair exactly made a high at 0.8990 and fell to the previous swing high (0.8952), the breakout level gave enough support to close above this. The trading range is fixed between 0.895-0.90 levels. As per the daily momentum oscillators, we recommend holding shorts for the near-term purpose aiming at 0.8914, 0.8886 and 0.8860 (April 22 high and 50-day SMA). A day close below the 0.8860 level, we need to re-analyze the charts for new targets.
As per the above study, we recommend the following:
Sell with sl 0.90 on cb, panic below 0.8950 levels.
A week close above the 0.90 levels, a new trend will emerge.
