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Technical analysis of GBP/CHF for March 22, 2016

Technical outlook and chart setups:

The GBP/CHF pair is finally looking to form a higher low at 1.3930 levels as depicted on the hourly chart here. The pair is bouncing off the fibonacci 0.786 support of the rally between 1.3880 and 1.4050 levels. Furthermore, the pair is forming an engulfing bullish candlestick pattern as well indicating a potential turn from here. Bulls should remain in control till prices stay broadly above 1.3880 levels going forward. It is hence recommended to remain long for now, with risk below 1.3880 levels. Immediate interim support is seen at 1.3880 levels, while resistance is at 1.4300 levels. A bullish turn from here could push prices higher towards 1.4300 levels at least.

Trading recommendations:

Remain long for now, stop at 1.3880, target is 1.4300.

Good luck!

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