Trade of the Day: AUD/CHF

By: Dima Chernovolov

AUD/CHF continues to rise in the direction of the key resistance level 0.6665 which was previously identified by Autochartist. Autochartist rates the significance of this key resistance level at the 3-bar level – which is the result of 3 earlier price reversal from this price level. AUD/CHF is expected to rise further toward this resistance level – 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 pair earlier reversed up sharply from the support area lying between the key support level 0.6635 (which has been reversing the price from September) and the lower daily Bollinger Band. The proximity of this support area increases the probability AUD/CHF will continue to rise toward the key resistance level 0.6665.