Autochartist Forecast

The intraday USD/CHF has been volatile on the shorter intraday time frames (the 15, 30, and 60 minute charts).  Trend shifts have been swift.  In this type of environment it is important to have a clear understanding of where selling pressure and buying support levels are.  The 30 minute USD/CHF broke higher through the downtrend line of the Falling Wedge chart pattern (B).  This led to a short rally.

The complete pattern alert shown below has plotted the forecast resistance region between 1.0240 and 1.0270 (F).  This area may be a possible ceiling for a move higher which could be helpful in placing profit target orders and trade management, but what about when the trade is over?

Don't forget that the forecast area can still provide insight into where the pair will go next.  Keep in mind that prices are now range bound within the support and resistance of the forecast, therefore:

1)    If prices are able to move higher through 1.0270 there is a likelihood that prices could reach the psychological level of 1.0300, or

2)    If prices are able to break lower through the 1.0240 level there could be yet another trend shift.

The current uptrend support could give way to another swift downtrend as was seen between October 28th and 29th.

The Initial Trend reading is still very high which indicates a better chance of more upside follow through.  This too would require the 1.0270 level to be broken to the upside.

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