Trade of the Day: EUR/CHF

By: Dima Chernovolov

EUR/CHF recently broke the key resistance level 1.0722 which was previously identified by Autochartist on the daily charts. Autochartist rates the Significance of this resistance level at the 5-bar level – which is the result of the five previous price reversals from this price level. EUR/CHF is expected to continue to rise toward the forecast price 1.0754.

As can be seen from the daily EUR/CHF chart below – the price earlier reversed up from the major support zone located between the long-term support levels 1.07 and 1.068, as well as the lower weekly Bollinger band. The proximity of this support zone and the bullish divergence on the weekly Stochastic indicator increase the probability EUR/CHF will continue to rise toward the forecast price 1.0754.