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Technical analysis of GBP/CHF for February 16, 2016

Technical outlook and chart setups:

The GBP/CHF pair has retraced from 1.4760 through 1.3925 to Fibonacci 0.382 levels as depicted here. The pair has reversed from the level 1.4300 as seen here and expected to continue lower. A high probability still remains that a lower low towards the level of 1.3800 can be reached, since the rally from 1.3925 looks corrective. It is hence recommended to remain short from here on with risk above the levels of 1.4300 . Immediate resistance is seen at 1.4450, while support is seen at 1.4100. Only a rally and a breakout above 1.4700 would change the trend. Also please watch for a bullish reaction around 1.4050/60 to review your trading positions.

Trading recommendations:

Stay short now, stop is at 1.44, a target is at 1.4050 and lower.

Good luck!

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