Trade of the Day: AUD/CHF

By: Dima Chernovolov

AUD/CHF continues to rise after recently breaking the hourly key resistance level 0.7183 which was previously identified by Autochartist. Autochartist rates the significance of this resistance level at the 4-bar level – which is the result of 4 previous price reversals from this price level. AUD/CHF is expected to rise toward the forecast price 0.7242 – in line with the earlier upward reversal from the support area shown below.

As can be seen from the daily AUD/CHF chart below – the price earlier reversed up from the support area located between the key support level 0.7100 (which also reversed the price at the start of March), lower daily Bollinger Band and the 38.2% Fibonacci correction of the upward price impulse from January. The proximity of this support zone adds to the probability AUD/CHF will continue to rise toward the forecast price 0.7242.