Trade of the Day: USD/CHF

By: Dima Chernovolov

USD/CHF continues to rise inside the hourly Up Channel chart pattern, which was previously identified by Autochartist. Autochartist rates the quality of this Up Channel at the 6-bar level – which is the result of the slow Initial Trend (1 bar), strong Uniformity (9 bars) and maximum Clarity (10 bars). USD/CHF is expected to rise further inside this Up Channel in line with the earlier upward reversal form the key support area shown below.

As can be seen from the USD/CHF chart below, the price earlier reversed up sharply with the daily candlestick reversal pattern Bullish Engulfing from the support area located between the round support level 0.9000 and the lower daily Bollinger Band. The proximity of this support area adds to the probability USD/CHF will continue to rise inside this hourly Up Channel.