Trade of the Day: EUR/CHF
By: Dima Chernovolov
EUR/CHF continues to rise inside the 4-hour Falling Wedge chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Falling Wedge at the 5-bar level – which is the result of the slow Initial Trend (2 bars), low Uniformity (3 bars) and strong Clarity (9 bars). EUR/CHF is expected to rise further inside this chart pattern – in line with the earlier upward reversal from the key support area shown below.
As can be seen from the weekly EUR/CHF below, the price earlier up from the support area lying between the pivotal support level 1.1200 (which has been reversing the price from last September) and the lower weekly Bollinger Band. The proximity of this support area increases the probability EUR/CHF will continue to rise inside this chart pattern.
