Technical outlook and chart setups:
The GBP/CHF pair took out stops at 1.5250 and rallied through 1.5300/50 levels yesterday. This event was discussed and expected once 1.5250 was taken out. The pair has reached a potential resistance at 1.5350/60 and also a convergence, as seen here. A push through 1.5360, could reach 1.5408/10 and also 1.5450 subsequently. It is recommended to remain flat for now and watch out for a bearish reaction at current levels before initiate short positions. Only a break above 1.5450 levels would confirm that bulls are back in control and could push prices above 1.5550 in near term. Immediate resistance is at 1.5450, followed by 1.5550, while support is seen at 1.5150, followed by 1.5075 and lower respectively.
Trading recommendations:
Remain flat for now. Aggressive trade setup would be to initiate short positions now, stop at 1.5450, the target is open.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
