Is the Swiss franc forming a bullish reversal

The Swiss franc hit a new low in this week, but is now again reversing from it, which could be the start of some larger and more important turning point. Notice that we are tracking a corrective decline from 0.9750, which is actually part of a much bigger contra-trend move on a daily chart where we are tracking a triangle within the larger uptrend. As such, we are ready on a bullish move in the USD/CHF, but would have to see further strength from here and through the upper falling channel line, as well as 0.9394 level to make sure that lows are in. The reading on the RSI is also interesting, where prices reversed from its own trend-line and suggests higher reading as we move forward.

USDCHF 4h Chart- Elliott Wave Analysis

USDCHF Daily Chart- Elliott Wave Analysis

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com. EW-Forecast.com provides technical analysis of the financial markets, highlighting behavioral patterns based on the Elliott Wave Principle (EWP). Website: http://www.ew-forecast.com/

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