Trade of the Day: CHF/JPY
By: Dima Chernovolov
CHF/JPY continues to rise after breaking the hourly Ascending Triangle chart pattern, which was previously identified by Autochartist. Autochartist rates the quality of this Ascending Triangle at the 7-bar level – which is the result of the significant Initial Trend and Uniformity (7 bars) and medium Clarity (5 bars). CHF/JPY is expected to rise toward the forecast price 125.27.
As can be seen from the daily CHF/JPY chart below – the pair earlier broke the resistance trendline of the daily Down Channel from the start of January. This trendline is acting as the support trendline after it was broken. The proximity of this support trendline and the clear daily uptrend increase the probability CHF/JPY will continue to rise toward the forecast price 125.27.