By: Doug Rosen
Today the EUR/CHF looks just as bullish as it did yesterday, maybe today will be the day it breaks the descending trend line I have been keeping track of. All forces are behind it giving it the push it needs to break the line. The EUR has definitely overpowered the GBP just a bit but is now against strong visual resistance. It can either break resistance which will increase its strength or it can bounce off of resistance and therefore weaken. Meanwhile, taking a quick peek at the GBP/CHF it has fallen back a bit and is now against visual support so there is a good chance that as the EUR/CHF bounces off resistance, the GBP/CHF could land on support and bounce up therefore the EUR could weaken and the GBP could strengthen. Keep an eye on this. Now, moving onto the EUR/GBP charts and starting with the weekly chart I see that the stochastics is in the oversold zone crossing up and price is up against visual resistance, a descending trend line and price has wicked just a bit. It could be that visual resistance has caused some profit taking at this level causing price to fall just a bit. Looking at the daily chart I see something else, that price has broken the trend line, fell back a bit and landed on the daily 144 ema and has wicked bounced back up a bit leaving a lower wick. The upper Bollinger Band is open and pointing up and the stochastics is in the trade zone pointing up. By the way, I have always loved this pair quite a bit because it does trade very technically over most other pairs. 
Price already has broken and retested last month's high and the 4 hour 5 ema is up against last month's high pushing price through that level. Looking at the hourly chart it appears price has broken above last week's high, has come back down for a retest precisely at the 38.2 fib level which overlapped with the 21 ema, all the conditions exist for a bounce to the upside. Price is above the daily central pivot point as well, and based on what AI am seeing so far, I still maintain a bullish bias on this pair.
