Ichimoku analysis (Weekly chart)
Tenken-Sen- 117.38
Kijun-Sen- 116.30
CHF/JPY recovered after a minor decline to 118.14 levels. The overall trend is still on the higher side as long as support 117.60 holds. The surge Swiss franc is supporting the pair at lower levels. USDCHF is trading weak for second consecutive days and lost more than 200 pips on broad-based US dollar selling. Markets eye US 01- year bond auction for further direction. The yen is showing minor strength against the US dollar. A dip till 109 possible.
Technical:
The pair's strong support is at 118, any break below confirms minor weakness, and a dip till 117.60/117.20 likely. On the higher side, near-term resistance is around 118.85 (Feb 17th high), and any indicative break above targets 119.60/120.40.
Indicator (Weekly chart)
CAM indicator – Slightly Bullish
Directional movement index – Bullish
It is good to buy on dips around 118 with SL around 117.60 for a TP of 119/119.70.
