EUR/CHF Candlesticks and Ichimoku Analysis

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 – 1.0860

The single currency met resistance at 1.0949 last month and has slipped again since, suggesting the fall from 1.0988 top is still i progress and margins weakness from here cannot be ruled out, however, reckon downside would be limited to support at 1.0792 and bring rebound later to 1.0900-10 but break of resistance at 1.0949 is needed to signal the pullback from 1.0988 has ended, bring test of 1.0960, break there would suggest upmove has resumed for retest of 1.0988, then towards previous resistance at 1.1001. Looking ahead, only a break there would retain bullishness and encourage for headway to 1.1050-60, then 1.1100, having said that, price should falter below another previous resistance at 1.1201.

On the downside, expect pullback to be limited to 1.0820 and said support at 1.0792 should hold, bring another rise later to aforesaid upside targets. A daily close below this support at 1.0792 would abort and signal top is formed instead, bring subsequent fall to the lower Kumo (now at 1.0753) and then towards 1.0700-10 but support at 1.0671 should remain intact, the single currency shall stage another rebound from there.

Recommendation: Hold long entered at  at 1.0865 for 1.1065 with stop below 1.0765.

On the weekly chart, euro met resistance at 1.0949 last month and has traded lower, suggesting further consolidation below resistance at 1.0988 would take place, however, reckon downside would be limited and support at 1.0792 should hold, bring another rise later, above 1.0960 would signal pullback from 1.0988 has ended, bring retest of this level, break there would extend recent upmove from 1.0631 to previous resistance at 1.1001, 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. 

On the downside, expect pullback to be limited to 1.0820 and said support at 1.0792 should hold, bring another rise. Below support at 1.0780 would abort and signal top has been formed at 1.0988, bring further weakness to 1.0720 but still reckon support at 1.0656 would remain intact, bring another rally later.