CHFJPY: Sell on rallies

CHF/JPY is showing a massive sell-off in the past two trading days. The weakness in Swiss franc is against all majors after the G20 meeting is putting pressure on this pair. US and China have agreed to resume trade talks in the G20 meeting have eased trade war tension and subsequently, demand for Safe-haven assets like gold, yen and Swiss franc got reduced. The pair has lost more than 100 pips from the high of 110.80. It hits a low of 109.49 and is currently trading around 109.57.

On the flip side, near term support is around 109.40 (20- day MA) and any violation below will drag the pair to the next level till 108.80 (61.8% fib)/108.50/108.21.Major trend reversal only below 107.60.

The near term resistance is around 110 and any break above will take the pair till 110.31 (61.8% fib)/110.80. Major trend reversal only above 111.12.

It is good to sell on rallies around 109.75-80 with SL around 110.80 for the TP of 107.60.