By: Dima Chernovolov
EUR/CHF continues to rise inside the hourly Up Chanel chart pattern which was identified previously by Autochartist. Autochartist rates the quality of this Up Chanel at the 7-bar level – which reflects the sharp Initial Trend (10 bars), below-average Uniformity (4 bars) and strong Clarity (9 bars). EUR/CHF is expected to rise further inside this Up Chanel – in line with the earlier breakout of the resistance level shown below.
As can be seen from the daily EUR/CHF chart below, the price earlier broke the resistance trendline of the daily Down Channel from June and the resistance level 1.0930 (upper boundary of the sideways price range inside which the pair has been moving from the start of August). This price level is acting as strong support level after it was broken. The proximity of this support level increases the probability EUR/CHF will continue to rise inside this Up Chanel.