USD/CHF: Technical analysis for February 28, 2013
USD/CHF: It is necessary to consider that the price is still located between the points of 0.9270 and 0.9330 (it is currently around the 0.9300 price), i.e. above the strong resistance level of 0.9357. The pair has already formed a strong resistance at the level of 0.9357 and is presently approaching the further testing. Therefore, the Swissie is expected to go downwards following the structure which does not look corrective, indicating a bearish opportunity below the 0.9360 level. Sell deals are recommended below 0.9360 with the first target seen at the 0.9320 level. Thus, the downtrend is likely to continue the bearish movement towards the 0.9275 level. Moreover, it is crucial that the price has probably formed a strong support at 0.9270. The saturation is likely to take place around 0.9270 (0.9270: the weekly Support 1). Therefore, it is possible that the market will start showing the signs of bullish behaviour. In other words, Buy deals are recommended above 0.9270 with the first target seen at the 0.9300 level and if this level is broken, then the pair will go further to the 0.9357 level (the weekly R1). It should be noted that the resistance becomes a support after it is broken.
Volatility: 137.94, therefore the market indicates higher volatility
Variation = Average * (Higher – Lower)
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