Forex Analysis: 19 Apr 2012, 07:55 UTC+00

GBP/CHF: Breaking out of Wedge Formations - Technical Analysis and Trading Recommendations

Technical Outlook:

GBP/CHF cleared medium term resistance at the 1.4620 level yesterday, and it is now threatening to break out of the Rising Wedge formations discussed earlier and shown on the chart setups below. Still considering the overall structure the prices are held up at a convergence of the resistance at 0.786 and at the upper boundary of the Wedge; it will require at least one more day to finish a clear breakout and turn bullish. Resistance is strong and positioned at 1.4790, at present it is still recommended to hold short positions opened earlier with 1.4790 as the line in the sand for the bulls to take over.

 


Show full picture

 

Chart Setups:

As seen from the above, the resistance 0.7860 of AB boundary (1.4790 to 1.4200) comes in around the area of 1.4670. Prices have just stalled around 1.4700, which defines the resistance zone. A bearish formation now (1-2 days) will re-enforce bears to resume once again and break through the channel line support coming at 1.4500. On the other hand, another day of rally can target at breaking the well placed resistance at 1.4790 at the moment and strengthen the bullish momentum.

Trading Recommendations: Issued Earlier

Sell at 1.4520/40, Stop at 1.4790, Target1 at 1.3950, Target2 at 1.3800.

 

Best regards,


Performed by
analytical expert: Harsh Japee
InstaForex Group © 2007-2017
 Published: 19 Apr 2012, 07:55 UTC+00

 
Recommend: Forex Analytics
 
Elliott wave analysis of EUR/NZD for March 24, 2017
24 Mar 2017, 18:33 UTC+00   
Betrachtet heute 2568
Global macro overview for 24/03/2017
24 Mar 2017, 14:01 UTC+00   
Betrachtet heute 2298
Daily analysis of GBP/USD for March 24, 2017
24 Mar 2017, 13:08 UTC+00   
Betrachtet heute 2248
AUD/USD profit target reached perfectly, time to start buying
24 Mar 2017, 20:15 UTC+00   
Betrachtet heute 2233
EUR/JPY profit target reached, prepare to buy
24 Mar 2017, 20:15 UTC+00   
Betrachtet heute 2230