USD/CHF: technical analysis for September 6, 2013
The price is set below strong resistance at the level of 0.9517 (0.9519: 61.8% of Fibonacci retracement levels in H4 chart). It should be noted that the price has still been trapped between 0.9450 and 0.9480. Moreover, it is worth noting that these levels are coinciding between 38.2% and 50% of Fibonacci retracement levels in H4 chart and the pair has already formed strong resistance at this level of 0.9517 and now it is approaching it in order to test it in case the price do not break the weekly resistance 2 at the level of 0.9517. Therefore, the Swissy’s downside momentum is rather convincing and the structure of the fall does not look corrective. In order to indicate bearish opportunity below 0.9517, it will be a good sign to sell below 0.9517 with the first target of 0.9450 and it will call for downtrend in order to continue bearish movement towards 0.9377. Furthermore, it should be noted that the price will possibly form strong support at 0.9370 (it should be also notes that the level of 0.9350 is the weekly support 1 for September 2 – 6, 2013, thus the area below this level will be a good place to set stop loss). So it will be saturation around 1.9350 to rebound. Probably, the market
is going to start showing signs of the bullish market. In other words, it will be a good sign to buy above 0.9350 with the first target at 0.9453 and continue towards 0.9500.
The material has been provided by InstaForex Company – www.instaforex.com