Trade of the Day: GBP/CHF

By: Dima Chernovolov

GBP/CHF continues to fall inside the 30-minute Down Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Down Channel at the 5-bar level – which is the result of the slow Initial Trend (1 bar), above-average Uniformity (6 bars) and medium Clarity (5 bars). GBP/CHF is expected to fall further inside this Down Channel.

As can be seen from the daily GBP/CHF chart below – the price earlier reversed down from the resistance zone located between the resistance level 1.2760, resistance trendline of the daily up channel from September the upper daily Bollinger Band. The proximity of this resistance zone increases the probability GBP/CHF will continue to fall inside this 30-minute Down Channel.