Daily Forex Update: GBP/CHF

The GBP/CHF has been moving sharply lower on the daily time frame. The slight bounce at 1.6016 has transitioned the downtrending market cycle across the 15-, 30-, and 60-minute charts. The Autochartist Initial Trend reading for the Falling Wedge pattern alert on the 60-minute chart suggests that the negative sentiment that helped create this formation is actually lessening; at one bar, the reading reflects the fact that prices have flattened out and are trading in a narrow, sideways range. This decreases the chance of follow-through lower and opens the door for a potential reversal.