Refer GBP/CHF chart on Trading View
- GBP/CHF resumes weakness, pauses minor recovery attempts at 2H 110-EMA.
- The pair failed to clear resistance at 2H 110-EMA and is extending weakness for the 2nd straight session.
- Long-term trend in the pair remains bearish, price action below cloud and major moving averages.
- The pair is extending weakness after being rejected at 200-W SMA. Technical indicators on weekly charts are highly bearish.
- We see scope for further weakness. Test of 1.2220 levels look possible.
- Break above 2H 110-EMA could see minor upside. Bearish invalidation only above 21-EMA at 1.2791.
Support levels - 1.2592 (Aug 15 low), 1.2575 (trendline), 1.25
Resistance levels - 1.2686 (5-DMA), 1.2707 (2H 110-EMA)
Recommendation: Good to go short on upticks, SL: 2.2710, TP: 1.26/ 1.2575/ 1.25
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at 18.9204 (Neutral), while Hourly CHF Spot Index was at 126.499 (Bullish) at 0925 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
