Forex Technical Update

Previous: USD/CHF - Double Bottom Versus Expanded Flat Scenario (2/21)

USD/CHF

USD/CHF

 

The bearish outlook extends in the USD/CHF after consolidating 2/21 and 2/22. The subsequent couple days of decline also breaks below an expanded flat consolidation that went from 1/30 to 2/22. The RSI kissing 30 is a sign of some near-term oversold conditions, but is also a sign of bearish momentum for a couple of weeks to come.

The target for this current bearish continuation outlook could be a measured move of the bear run from the 0.9593 high to the 0.9085 low projected from the consolidation high near 0.93. This projects to 0.8813. The 200 day simple moving average is also just below, close to 0.88. Below that using the fibonacci expansion tool, the projection of 150% targets 0.8570 and is the more aggressive target to be confirmed if the market can break below the 200 day SMA and 0.88.

Fan Yang CMT is a trader, educator and the Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.

 

Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analysis.