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Technical analysis of GBP/CHF for July 20, 2015

Technical outlook and chart setups:

The GBP/CHF pair is seen to be trading around 1.4990 levels for now, preparing to drop at least to the 1.4800 levels. As depicted on the H1 chart here, the pair has broken below the immediate line of support, and is forming an engulfing bearish candlestick signal for now. An aggressive trade setup would be to initiate short positions now with risk at the 1.5070 levels. Immediate support is seen at 1.4900 levels followed by 1.4850, 1.4750 and lower, while resistance is seen at the 1.5040 levels, followed by 1.5100 and higher respectively. Please note that the expected drop would be just a counter trend for now.

Trading recommendations:

Initiate short positions now. Stop is at 1.5170, target is 1.4800.

Good luck!

The material has been provided by InstaForex Company - www.instaforex.com