Ichimoku analysis (Weekly chart)
Tenken-Sen- 117.50
Kijun-Sen- 116.07
CHF/JPY recovered more than 80 pips after 3 weeks of a bearish trend. The weakness in the yen against all major due to the surge in US bond yield is supporting a pair at lower levels. But the jump in USDCHF is preventing the CHFJPY from further upside. USDCHF hits a 5-month high on broad-based US dollar buying, a jump till 0.9465 likely. The overall trend of CHFJPY remains bearish as long as resistance 118.80 holds.
Technical:
The pair's strong support is at 116.21 (21 W MA). Any weekly close below confirms bearish continuation, a dip till 115.42/115/114.77 is possible. On the higher side, near-term support is around 117.20 (7- W EMA), and any indicative break above targets 117.45/117.76/118/118.85.
Indicator (Weekly chart)
CAM indicator – Neutral
Directional movement index – Neutral
It is good to sell on rallies around 117.20-25 with SL around 117.85 for TP of 115.35.
