EUR/CHF

Medium term view-

The pair has been in a down trend from the 1.2649 levels. The pair has a strong support level at 1.21 and 1.1999. It has strong resistance levels at 1.2237 (20-M Sma) and 1.2342 (50-M Sma). The pair hit the 50-M Sma in September 2008 and is trading below that for six years. Until the pair close above 1.2342 levels, it will drift to lower levels again. The trading pattern is framed between the 1.1999-1.2342 levels.

The pair has a minor support at 1.2133 (July 01, low). This pair is a good example of the bearish view. It is trading below the popular moving averages in all possible time frames (monthly, weekly, and daily). It hit the ascending triangle as well. If it hits 1.2133, it can drift up to the previous low at the 1.2105 and 1.2029 levels. Until the pair trades above 1.2393, selling on the rise is the best strategy for the rest of the year.

On the upside, it has resistance at 1.2165, above this at the 1.2184 and 1.2218 levels.