Swiss Franc

Important CHF Pairs’ Technical Update: 07.06.2017


Having bounced from 0.9612, the USDCHF recently surpassed a week-long descending trend-channel resistance, at 0.9645 now, and is signaling the 0.9700 mark to come up on the chart. Should the pair maintain its latest strength after 0.9700, 0.9720, 0.9735 and the 0.9760 are likely buffers that it can avail before looking at 0.9800 mark. Meanwhile, a dip below 0.9645 favors chance of 0.9612 re-test which is close to 0.9600 round-figure support. Given the pair keep trading southwards after 0.9600 break, the 0.9570 and the channel’s support-line of 0.9555 can please sellers while 0.9530 becomes a crucial stop for traders to observe during the quote’s additional drop.



EURCHF presently indicates a quick test to month-old descending trend-line support of 1.0835, breaking which 50-day SMA level of 1.0815 and the 1.0795 are important rests that can confine the pair’s near-term downturn. If prices continue declining after 1.0795, the 1.0780 and the 1.0750 can come-back on the chart. Should the quote reverses from present levels, 1.0865 and the 1.0885 resistance-line may entertain immediate buyers. However, pair’s break of 1.0885 on a daily closing basis can confirm “Falling-Wedge” Bullish formation and may further propel it to 1.0920, 1.0935 and 1.0970 before challenging the May high of 1.0985.



With the CHFJPY’s latest break of six-week old ascending trend-line, the pair seems vulnerable to extend its downturn towards 112.60, 112.30 and the 111.60 consecutive supports. In case if sellers dominate prices after 111.60, the 111.30 is a barrier that they need to conquer in order to target 110.00 psychological magnet. Alternatively, the 113.35 and the 113.80 can limit the pair’s immediate up-moves, breaking which 114.00, 114.40 & 114.75 should entertain buyers. Given the pair’s sustained up-moves after 114.75, it can extend northward trajectory to the 115.20 and the 61.8% FE level of 116.15.



Following its bounce from 0.7145, the AUDCHF confronts the seven-week long descending trend-line resistance of 0.7295, immediately followed by 0.7300 round-figure. If the pair closes above 0.7300, the 0.7340 & 0.7385 may act as intermediate halts prior to 50-day SMA, at 0.7420, limiting its follow-on advances. On the downside, 0.7230, 0.7200 and the 0.7145 are expected adjacent supports to be watched by traders, breaking them could open the door for the pair’s south-run towards 0.7100, 0.7060 and the 0.7000 psychological magnet.

Cheers and Safe Trading,
Anil Panchal