USDCHF – Near term wave B recovery could target
0.9500/0.9610
USDCHF has been in larger corrective uptrend since August’11 and it could test the 1.000/1.0700 resistance on multi-month basis (watch for strong 2005 monthly resistance line). The pair had completed a wave (W) at 0.9975
(Jul’12 high) and the current wave (X) could test the strong 0.9040/0.8930 support in coming weeks where medium term bulls may fight back. The 0.9700/0.9810 resistance needs to be cleared to renew the uptrend.
The pair is attempting recovery from 0.9235 with daily MACD has been turning higher. Near term strength may be a wave B. Upside focus is now on 0.9415. A break above could target 0.9500/0.9610 next. The 0.9325/0.9285
support looks to hold now on weakness. A reversal below 0.9235 however renews bears for 0.9100/0.9040 next. A break above 0.9610 would extend the recovery toward tough 0.9700/0.9810 resistance.
Anantharajan .P, CMT (Technical Strategist, Precise Trader)
