Trade of the Day: AUD/CHF
By: Dima Chernovolov
AUD/CHF continues to rise inside the 4-hour Up Channel chart pattern which was earlier identified by Autochartist. Autochartist rates the quality of this Up Channel at the 5-bar level – which is the result of the slow Initial Trend (1 bar), average Uniformity (5 bars) and high Clarity (9 bars). AUD/CHF is expected to rise further inside Up Channel – in line with the earlier breakout of the resistance area shown below.
As can be seen from the daily AUD/CHF chart below, the price earlier broke the resistance area lying between the resistance level 0.6880 (which reversed the pair in June) and the resistance trendline of the daily down channel from April. This price zone is acting as strong support area after it was broken. The proximity of this support area adds to the probability AUD/CHF will continue to rise inside Up Channel.
