USDCHf has reached the support zone at
1.1225/50 and we have already seen the pair bounce a couple of times
failing to punch through; this support zone coupled with the trendline
connecting a series of lower highs is forming a triangle over the
course of past few days. Although this looks like a strong support
level a break from here will increase the bearish momentum and push the
pair all the way down to 1.11 perhaps even lower. Conversely a movement
above the resistance trendline will open up the recent highs as the
next natural bullish target; as usual we will wait for a break-out move
and trade the retracement.
