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Technical analysis of GBP/CHF for December 21, 2015

GBPCHF.png

GBP/CHF established a consistent downtrend with new lower lows and lower highs. While price is moving downwards, it rejects the downtrend trend line on every occasion confirming the validity of the downtrend.

At the same time, 61.8% and then 38.2% Fibonacci retracement levels became resistance and both were rejected. At the moment, there are no obvious signs of trend reversal, although it might be coming pretty soon. So, this could be the last wave down before potential reversal.

Consider selling GBP/CHF, while the price is near R2, targeting 161.8% Fibonacci retracement area near 1.4650. The stop loss should be placed just above the R4.

Support: 1.4755, 1.4645

Resistance: 1.4820, 1.4865, 1.4900, 1.4930

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