- AUD/CHF halts shy of 61.8% Fib retrace of 0.7806 to 0.7146 fall at 0.7554.
- Aussie bulls fail to benefit from upbeat China data dump, which was higher on all categories.
- We could see resumption of upside on break above 61.8% Fib, scope then for test of 0.7665 (78.6% Fib).
- The pair has broken above 200-DMA at 0.7493 and we see bullish invalidation only on close below.
- Technical studies on weekly charts are also bullish. The pair has broken above weekly 50-SMA at 0.7467.
- RSI and Stochs on weeklies are biased higher and MACD is showing a bullish crossover on signal line.
Support levels - 0.7493 (200-DMA), 0.7468 (weekly 50-SMA), 0.7460 (5-DMA)
Resistance levels - 0.7554 (61.8% Fib retrace of 0.7806 to 0.7146 fall), 0.7635 (Jan 19 high), 0.7665 (Oct 26 2016 high and 78.6% Fib)
Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-CHF-struggles-at-channel-top-at-07375-good-to-go-long-on-break-above-798534) has hit all targets.
Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-CHF-momentum-bullish-on-track-to-test-618-Fib-at-07554-stay-long-803702) has almost hit target.
Recommendation: Book full profits at highs. Watch out for break above 0.7554 to go long, target 0.7630.
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