Technical outlook and chart setups:
The GBP/CHF pair reached fresh highs at the levels of 1.4640/50 yesterday, taking out initial resistance at 1.4600 as depicted here on the hourly chart. The pair should be looking for an opportunity to produce a meaningful correction. It is expected to drop in a corrective manner (3 waves) towards 1.4320/30 before resuming its earlier rally. Please note that it is also the Fibonacci 0.618 support of the rally between the levels of 1.4125 and 1.4640 respectively. It is hence recommended to initiate short positions now with risk at the levels of 1.4650. Immediate support is seen at 1.4450, while resistance is seen at 1.4640.
Trading recommendations:
Initiate short positions with stop at 1.4650, a target is at 1.4330.
Good luck!
