Technical outlook and chart setups:
The GBP/CHF pair took out stops placed at 1.4650 levels yesterday but has bounced off sharply from 1.4550 levels and produced a bullish morning star candlestick pattern as seen here. This might be an indication of a potential resumption of the uptrend. Furthermore, the pair has found support around the fibonacci level of 0.786 and a trendline support as depicted on the chart here. It is still recommended to initiate at least 50% long positions (1.4755), with risk at the level of 1.4500. Immediate support is seen at 1.4425 while resistance is seen at 1.4850 respectively.
Trading recommendations:
Initiate 50% long positions at 1.4750, stop at 1.4500, target above 1.5200
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
