Weekly Technical Outlook & Trading Ideals on USD/CHF: Nov 24, 2014

  WEEKLY USD/CHF TECHNICAL OUTLOOK
Last Update At 24 Nov 2014 00:05GMT

Trend Daily Chart
Up

Daily Indicators
Bearish divergences

21 HR EMA
0.9679

55 HR EMA
0.9638

Trend Hourly Chart
Up

Hourly Indicators
Easing fm o/bot

13 HR RSI
72

14 HR DMI
+ve

Daily Analysis
Possible resumption of MT uptrend

Resistance
0.9772 - 61.8% proj. of 0.9024-0.9690 fm 0.9360
0.9742 - Nov 07 fresh 1-year high
0.9714 - Intra-day high in NZ

Support
0.9664 - Hourly su9
0.9635 - Prev. hourly res (now sup)
0.9606 - Last Thur's high (now sup)

. USD/CHF - 0.9714... The greenback also swung wildly in tandem with euro in inverse direction last week. Despite ratcheting lower to a 3-week bottom of 0.9530 last Wed, price jumped on FRi to 0.9709 due to intra-day selloff in the euro after ECB Draghi's repeated dovish comments of launching stimulus measures.

. Let's look at the bigger picture 1st, dlr's aforesaid strg bounce fm 0.9530 to 0.9709 (Fri) signals pullback fm Nov's fresh 1-year peak at 0.9740 as ended there n re-test of this res lvl shud be forthcoming soon, break wud confirm MT uptrend fm 0.8698 (May's near 2-1/2 year low) has once again resumed n yield gain to next upside target at 0.9772, this is 61.8% proj. of intermediate rise fm 0.9024 to 0.9690 measured fm 0.9360. Having said that, as the daily technical indicators wud dispaly 'bearish divergences' on such move, strg gain may not be seen n reckon 0.9875 (61.8% proj. of 0.8857-0.9690 fm 0.9360) wud cap upside n risk has increased for a long-overdue correction to occur. On the downside, a daily close below 0.9530 signals temp. top is made n risks 0.9442.

. Today, price rose to 0.9731 in NZ is currently trading abv 21-hr & 55-hr emas, buying dlr on dips is the way to go for subsequent headway twd 0.9772.