Forex: Swiss Franc ends week on a strong note

By IBTimes Staff Reporter | December 18 2009 5:06 PM

FXstreet.com (Córdoba) - The Swiss Franc was among the few currencies to post daily gains against the Dollar on Friday. USD/CHF failed to hold above 1.0500 and pulled back to 1.0385. The pair then rose back above 1.0400 to finished the week around 1.0420/30.

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Franco Shao, technical analyst at ForexCycle.com affirms: USDCHF's uptrend from 0.9959 extends to as high as 1.0507. As long as the channel support holds, uptrend could be expected to continue and further rally is still possible to 1.0550 area. However, next short term cycle top is nearing and 1.0507 could possibly be another cycle top on 4-hour chart. Key support is at 1.0345, a break below this level will confirm the cycle top and indicate that the rise from 0.9959 has completed, then range trading between 1.0250 and 1.0507 could be seen to follow.

Against the Euro, the Swissy closed on Friday at the highest level in eight months. EUR/CHF broke the key support at 1.5000 and tumbled. GBP/CHF fell for the second day in a row after the pair was rejected from levels above 1.7000 and ended at 1.6840/50.

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