USD/CHF is continuing the prevailing downtrend inside the Falling Wedge chart pattern identified by Autochartist on the daily charts. The Quality of this chart pattern is measured at the 5 bar level which is the result of the low Initial Trend (1 bar), above average Uniformity (6 bars) and maximum Clarity (10 bars). The low Initial Trend value corresponds to the range bound price action that accompanied three successive unsuccessful attempts of the price to break through the support level at 1.0500 (former resistance). The high Clarity reflects the strength of the bearish pressure on the pair that has been affecting it during the formation of this chart pattern (last 275 days). The pair is expected to continue falling in the coming sessions.
The 240-minute USD/CHF chart shows the Flag chart pattern that has just been completed. The maximum Initial Trend value (10 bars) reflects the sharpness of the preceding correction to the prevailing downtrend which that started at the support level at 0.9300. The pair is expected to fall toward the Forecast Area set between price levels 0.9299 and 0.9331. The lower border of the Forecast Zone coincides with the abovementioned support level at 0.9300. Expect strong support at this level.
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