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FxWirePro: GBP/CHF trades shy of 200-DMA, good to go long on break above

GBP/CHF chart on Trading View used for analysis

  • GBP/CHF grinds higher along 5-DMA support.
     
  • The pair is currently trading in a narrow range, finds stifff resistance at 200-DMA.
     
  • Oscillators have approached overbought levels which could see some correction in the pair.
     
  • That said, breakout at 200-DMA could propel the pair higher. Scope then for test of 61.8% Fib at 1.3322. 
     
  • On the flipside, break below 20-DMA could see weakness till 20-DMA.

Support levels - 1.3051 (5-DMA), 1.30 (38.2% Fib), 1.2915 (20W-SMA)

Resistance levels - 1.3126 (200-DMA), 1.3157 (50% Fib), 1.3322 (61.8% Fib)

Recommendation: Watch for break out above 200-DMA to go long, target 1.3155/ 1.32/ 1.3320

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex
 

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