USD/CHF Near Term Pattern and Action Consistent with a Turn
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-Last week, USDCHF filled a previously uncovered close from Nov 4th, 2011. The drop to YTD lows shifted focus to the Oct 2011 low at .8570 but this recent action requires an audible. Price formed an outside week reversal last week.
-The advance from the 12/17 low is impulsive (5 waves), which is also suggestive of a turn. Watch for support from the 12/13 high at .8916.
Trading Strategy: If it weren’t a holiday week, then I would entertain longs after evidence of a secondary low (above .8830).
LEVELS: .8830 .8877 .8916 | .8959 .9012 .9049
--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.