H4
Overbought GBP/CHF market as expected provoked the corrective decline of the currency pair – the Chinkou Span was in the zone of maximum deviation from the price graph.
As a result during yesterday the price not only declined into the Tenkan-Kijun channel(3,4),but also touched its lower limit-Kijun-sen(4).It is worth mentioning that the bears are continuing with the attack and can apperal below it.
Nevertheless, the Senkou Span formed a support at 1.4660 where the correction might end.
In case this level cannot stand the bearish attack the upper limit of the Ichimoku cloud will get in the game.
H1
Despite yesterday’s market opening with an upside gap, the currency pair price still appeared inside the Ichimoku cloud and continued to decline.
At the same time the Tenkan-sen and the Kijun-sen denoting current short-term negative trend moved the Dead cross (5) slightly lower.
However during the working day the price did not reach its lower limit of the Kumo – Senkou Span B that provides another support on the market at the moment.
Therefore today we might expect 1.4660 to be tested , after which the Chinkou Span is to appear in the local oversold zone. In its turn it will enable the bears to recover the market to the Kijun-Sen (4).
