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Technical analysis of GBP/CHF for October 16 2015

Technical outlook and chart setups:

The GBP/CHF pair is testing its 50 day moving average around the level of 1.4750 at the moment, after having reached an intraday high of 1.4768, just shy of its fibonacci 0.618 resistance. Please note that the pair needs to clear the past level of 1.4800 and subsequently 1.4900/30, to confirm that bulls are back in control. As bearish reversal is observed here, it could drop lower towards 1.4400. It is recommended to watch for bearish reversal here and initiate short positions with risk above 1.4800. Immediate support is seen at the level of 1.4620 followed by 1.4550 and lower, while resistance is seen at 1.4900/30 and higher.

Trading recommendations:

Sell on bearish signals around current levels, set stop above 1.4800, a target is 1.4400.

Good luck!

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