News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Will be covering the Japanese #Yen to see how retail positioning could shape the outlook for $USDJPY, $AUDJPY and $EURJPY Starting in about 30 minutes! Signup for the session below: https://t.co/afqne77wU6
  • Join @ddubrovskyFX at 20:00 EST/00:00 GMT for a webinar on what other traders' buy/sell bets say about price trends. Register here: https://t.co/AzOQioRZER https://t.co/h2DAnqnY7J
  • #BlackRock: We are neutral U.S. equities. We see U.S. growth momentum peaking and expect other regions to be attractive ways to play the next leg of the restart as it broadens to other regions, notably Europe and Japan $SPX $NDX
  • #BlackRock: The new nominal theme leads to a steeper yield curve expectation than market pricing. We see yields rising gradually, keeping us broadly underweight government bonds, particularly for longer maturities #trading $TLT
  • BlackRock: We are overweight European equities, and neutral Japan #trading
  • Gold prices face off with rising Treasury yields as jobs data approaches. Meanwhile, iron ore prices caught a small bid on bullish port activity out of China. Get your market update from @FxWestwater here:https://t.co/A79cY6KvDI https://t.co/rJ0xqsUPu1
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwvklO https://t.co/cRqAcvYkI8
  • #Blackrock: We are moderately pro-risk and keep some cash to potentially further add to risk assets on any market turbulence #trading $SPX $RUT $DJIA
  • RT @BrendanFaganFx: Natural Gas Outlook: Price Continues to Soar as Severe Winter Shortage Looms $NG $NG_F Link: https://www.dailyfx.com/forex/market_alert/2021/09/28/Natural-Gas-Outlook-Price-Continues-to-Soar-as-Severe-Winter-Shortage-Looms.html…
  • USD/CAD is set to snap a five-day sell-off with today’s rally breaking near-term downtrend resistance. Get your $USDCAD market update from @MBForex here:https://t.co/GhpA2pJJqL https://t.co/sDuE9WdDEg
Price & Time: False Break in EUR/CHF?

Price & Time: False Break in EUR/CHF?

Kristian Kerr, Sr. Currency Strategist

Talking Points

  • Broke the 200-day MA this week
  • Still at the low end of a 3-month range
  • SNB supporting the cross

To receive other reports from this author via e-mail, sign up to Kristian’s e-mail distribution list via this link.

EUR/CHF has been locked in a clear sideways to lower range for the better part of three months. On the downside this range has been supported by the 200-day moving average until the start of this week when the upwards sloping 200-day moving average near 1.2300 was eclipsed on both an intraday and daily close basis. Technically this suggests a potential change in trend is occurring. However, in our experience there is usually a lot of “noise” surrounding the initial break of widely watched indicators like a 200-day moving average and often times such breaks lead to powerful moves back in the direction of the trend as aggressive breakout type traders are forced to cover. Given EUR/CHF is at the bottom end of a clear range and has the support of the SNB, such a false break scenario materializing here is not that unlikely. We like positioning for such a potential scenario with a buy stop over today’s intraday high of 1.2309. Any weakness below Monday’s low of 1.2275 would turn the technical picture much more negative.

EUR/CHF Daily Chart: September 25, 2013

Range_eurchf_body_Picture_2.png, Price & Time: False Break in EUR/CHF?

Charts Created using Marketscope – Prepared by Kristian Kerr

Key Event Risks in Coming Sessions:

Range_eurchf_body_Picture_1.png, Price & Time: False Break in EUR/CHF?

LEVELS TO WATCH

Resistance: 1.2309 (intra-day high), 1.2380 (Fibonacci)

Support: 1.2275 (Monday’s low), 1.2300(Psychological)

Strategy: Buy EUR/CHF

Entry: Buy EUR/CHF on a break of 1.2309

Stop: 1.2269

Target: 1.2295

--- Written by Kristian Kerr, Senior Currency Strategist for DailyFX.com

Are you looking for other ways to pinpoint support and resistance levels? Take our free tutorial on using Fibonacci retracements.

To contact Kristian, e-mail instructor@dailyfx.com. Follow me on Twitter at@KKerrFX.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES