Weekly
   •   Last Candlesticks pattern: Doji
   •   Time of formation: 20 Feb 2017
   •   Trend bias: Up
Daily
   •   Last Candlesticks pattern: Doji
   •   Time of formation: 1 Sep 2016
   •   Trend bias: Near term down
EUR/CHF – 1.0973
As the single currency has retreated after rising to 1.0988 late last week, suggesting consolidation below this level would be seen and pullback to 1.0860-65 cannot be ruled out, however, reckon the Kijun-Sen (now at 1.0822) would contain weakness and bring another rise later, above said resistance would extend the erratic rise from 1.0631 for at least a stronger correction of early decline to 1.1001 resistance but break there is needed to encourage for headway to 1.1050-60, then 1.1100, having said that, overbought condition should prevent sharp rise beyond 1.1150 and price should falter below previous chart resistance at 1.1201, risk from there has increased for a retreat to take place later.
On the downside, whilst initial pullback to 1.0860–65 is likely, reckon the Kijun-Sen (now at 1.0886) would limit downside and bring another rise later. Below 1.0845-50 would defer and suggest top is possibly formed, bring test of support at 1.0792 which is likely to limit downside, bring rebound later. A daily close below this support at 1.0792 would abort and signal top is formed, bring subsequent fall to the upper Kumo (now at 1.0726) but support at 1.0671 should remain intact, the single currency shall stage another rebound from there.
Recommendation: Buy at 1.0865 for 1.1065 with stop below 1.0765.
On the weekly chart, although the single currency surged to 1.0988 last week, the subsequent retreat suggests consolidation below this level is in store and pullback to 1.0860-65 cannot be ruled out, however, the Tenkan-Sen (now at 1.0822) would contain downside and bring another rise later, above said resistance at 1.0988 would extend the rise from 1.0631 low to 1.1001 resistance, a sustained breach above this level would signal the fall from 1.1201 has ended, bring further gain to 1.1100 and possibly test of resistance at 1.1129 but price should falter below said recent high at 1.1201, bring retreat later.Â
On the downside, expect pullback to be limited to the lower Kumo (now at 1.0852) and bring another rise later. Below the Tenkan-Sen (now at 1.0822) would risk test of the Kijun-Sen (now at 1.0810), break there would defer and suggest top is possibly formed, risk test of 1.0792 support, once this level is penetrated, this would add credence to this view, bring further fall towards 1.0725-30 but support at 1.0656 should remain intact, bring another rally later this month.
