By: John Ursus
Timeframe: H4 Recommendation: Long Position
Entry Zone: 1. – 1.3800
Take Profit Zone: 1.3400 – 1.3450
Stop Loss Zone: 1.3950 – 1.4000
The EURCHF has corrected sharply as visible in this H4 chart. The last few trading weeks have led to a sideways trend and a breakout above its Fibonacci Resistance zone which is a very bullish signal for this currency pair. The breakout occurred today and the EURCHF should be able to add a rally which should take it back to its resistance area.
A mix of better than expected economic data out of the Eurozone coupled with stagnant progress in the Swiss economy should add a bullish boost from a fundamental aspect. A breakout above its next resistance area is likely to result in a sharp rally until a double top is formed.
