Chart - Courtesy Trading View
Technical Analysis:
- GBP/CHF was trading 0.21% higher on the day at 1.1495 at around 11:55 GMT
- The pair is extending gains for the second consecutive session
- Price action has broken above 5-DMA and is on track to test 21-EMA resistance
- Chikou span is biased higher. MACD is on verge of bullish crossover on signal line
- RSI is biased higher, Stochs are on verge of bullish rollover from oversold levels
Support levels:
S1: 1.1499 (200H MA)
S2: 1.1448 (5-DMA)
Resistance levels:
R1: 1.1522 (5-week MA)
R2: 1.1546 (21-EMA)
Summary: GBP/CHF regains some composure and extends gains after the release of UK inflation figures for the month of July.
Data released earlier on Wednesday showed UK Consumer Price Index (CPI) rose to 10.1% YoY versus 9.8% expected and 9.4% prior. The Core CPI rose to 6.2% versus 5.9% market consensus and 5.8% previous readouts.
Further, UK Retail Price Index also edged higher to 12.3% YoY compared to 12.0% expected and 11.8% prior.
GBP/CHF poised for further upside. The pair eyes 21-EMA resistance at 1.1546. Decisive break above will fuel further gains.
