Trade of the Day: EUR/CHF

By: Dima Chernovolov

EUR/CHF continues to rise inside the clear 15-minute Rising Wedge chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Rising Wedge at the 3-bar level – which reflects the slow Initial Trend (1 bar), above-average Uniformity (6 bars) and lower Clarity (4 bars). EUR/CHF is expected to rise further inside this Rising Wedge.

As can be seen from the daily EUR/CHF chart below – the price earlier broke through the resistance area located between the pivotal resistance level 1.0200 (which has been reversing the price from March) and the 38.2% Fibonacci correction of the downward impulse from March. This price area is acting as the support zone after it was broken. The proximity of this support zone adds to the probability EUR/CHF will continue to rise inside this Rising Wedge.