FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch (EURUSD and AUDUSD) for the day)
FxWirePro: GBP/CHF extends gains above 21-EMA, scope for further gains
Chart - Courtesy Trading View
GBP/CHF was trading 0.52% higher on the day at 1.1080 at around 10:45 GMT
Previous Week's High/ Low: 1.1024/ 1.0156
Previous Session's High/ Low: 1.1024/ 1.0807
UK government withdraws plan to scrap higher tax rate, boosting the British pound across the board.
UK Finance Minister Kwasi Kwarteng confirmed that his government will not go ahead with a plan to scrap a 45% rate of income tax.
The news helped ease concerns about the UK's ballooning public debt and provided a boost to the British pound.
An upward revision of the UK Q2 GDP print adds some support to the pound. However, bleak economic outlook keeps upside in check.
- GBP/CHF is extending gains for the third consecutive sessions
- The pair has broken above 21-EMA, raising scope for further gains
- Momentum is bullish, Stochs and RSI are sharply higher, volatility is high
- MACD line confirms bullish crossover on signal line, Chikou span is biased higher
Major Support and Resistance Levels:
Support - 1.0980 (21-EMA), Resistance - 1.1243 (55-EMA)
Summary: GBP/CHF spikes higher for the third straight session. Break above 21-EMA opens further upside in the pair.