GBP/CHF bullish movements on the daily chart
|GBPCHF has been bullish on the daily chart. The pair made a massive bearish move on the Daily Chart earlier, the price heading towards the South by obeying a down- trending trendline. Then, that trendline got breached and confirmed by the daily candles. The pair has been more bullish since then. There is a lot of space for the price to travel towards the North. That would be another reason for the buyers to be attracted to buying the pair.
Let us have a look at the GBPCHF Daily Chart.
The Daily Chart shows that the down-trending trend line got breached and confirmed by several daily candles. The breakout was not as explicit as it could have been. Nevertheless, it was a breakout, and the price has been above the trend line. The trend started with a Morning Star where a Daily Spinning Top was engulfed by a Daily Engulfing Candle. This is one strong bullish reversal candle that the buyers would love to see. After the breakout and confirmation, two consecutive bullish daily candles have been produced. Last Friday's candle came out as an inside bar. Today's price action suggests that today's Daily Candle may close above Friday's Daily Candle upper shadow. If that happens, the buyers may go long on the pair more aggressively this week.
Let us now have a look at the H4 GBPCHF Chart.
The H4 chart shows that the price headed towards the North after making a breakout at a level of resistance where the price had rejection three times. It then had a consolidation. The price might have come down a bit further down up to the breakout level (previous resistance). That would have attracted more buyers. However, the current support level seems to be a strong level of support. The price had a bounce twice at that level. The price at the moment is above the resistance. If it makes an H4 breakout, then there is a good possibility that the daily candle may end up being a strong bullish candle. This would attract more buyers to go long on the pair.
Both the H4 and Daily Chart look good for the buyers to go long on the pair. All other equations favor the buyers as well. Thus, the pair may remain bullish for some days. Neither the GBP nor the CHF has any high impact news event to encounter this week. This fact shall attract technical intraday traders to get busy with the pair.
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