EUR/CHF Candlesticks and Ichimoku Analysis

Weekly

    •    Last Candlesticks pattern: Long white candlestick
    •    Time of formation: 24 Jul 2017
    •    Trend bias: Up

Daily

    •    Last Candlesticks pattern: Morning doji
    •    Time of formation: 25 Jul 2017
    •    Trend bias: Up

EUR/CHF – 1.1467

As the single currency has rebounded again after finding support at 1.1350, bullishness remains for another rise towards resistance at 1.1538, however, break there is needed to confirm recent upmove has resumed and extend headway to 1.1600-10, having said that, further sharp move beyond 1.1700 should not be repeated and price should falter below 1.1770-80, risk from there is seen for a retreat to take place later this month.

On the downside, expect pullback to be limited to the Tenkan-Sen (now at 1.1429) and the Kijun-Sen (now at 1.1386) should remain intact, bring another rise to aforesaid upside targets. Below support at 1.1350 would defer and risk test of 1.1320-25, break there would suggest the rebound from 1.1259 has ended instead, bring retest of this level, below there would extend the corrective fall from 1.1538 top for retracement of recent upmove to 1.1185 (50% Fibonacci retracement of 1.0833-1.1538), however, sharp fall below 1.1100-05 (61.8% Fibonacci retracement) should not be repeated and 1.1050 would hold, bring rebound later. 

Recommendation: Hold long entered at 1.1355 for 1.1555 with stop below 1.1350.

On the weekly chart, this week’s rebound after finding renewed buying interest at 1.1350, retaining our bullishness for recent upmove to resume after consolidation, above resistance at 1.1538 would confirm recent upmove has resumed and extend the major rise from 0.8426 low for headway to 1.1590-00, then towards 1.1700-10 but overbought condition should prevent sharp move beyond 1.1800 and reckon 1.1900-10 would hold from here, risk from there has increased for a retreat to take place later. 

On the downside, expect pullback to be limited to 1.1400 and said support at 1.1350 should hold, bring another rise later. Below 1.1320-25 would risk test of 1.1259-63 (said support and current level of the Tenkan-Sen), a weekly close below there would shift near term risk to the downside and suggest a temporary top is formed instead, bring retracement of recent rise to 1.1100-05 (61.8% Fibonacci retracement of 1.0833-1.1538), then test of the Kijun-Sen (now at 1.1097) but reckon support at 1.0987 would remain intact.