On the H4, with prices moving within an ascending channel and above the ichimoku indicator, we have a bullish bias that price will rise to the pivot at 1.05890 where the swing high resistance and 78.6% fibonacci projection are. Once there is upside confirmation of price breaking pivot structure, we would expect bullish momentum to carry price to 1st resistance at 1.07335 where the 100% fibonacci projection , -27.2% fibonacci expansion and 127.2% fibonacci extension are.
Alternatively, price could drop to the 1st support at 1.04820 where the pullback support is.
Due to the surprise rate hike by 50bps to -0.25%, we have a bullish bias on Swiss Franc .
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Written by Desmond Leong
Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.
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