U.S. Dollar Continues to Consolidate, as Does USD/CHF
The USD/CHF has been consolidating across intraday timeframes. This isas the U.S. Dollar is ranging around the 80.50 level. All eyes continueto be on the U.S. Dollar as crude oil once again is trading above 72.00.
Consolidation Triangles have formed on the 60 and 240 minute charts ofthe USD/CHF.
The 60 minute chart is currently triggering an uptrend line breakdown asprices pierce support at 1.0845. With the Forecast Region supportwaiting below at 1.0810 to 1.0760, this breakdown points towards whatcould be U.S. Dollar weakness as the Swiss franc gains on the dollar.
The 240 minute chart is still ranging within the uptrend and downtrendlines that have formed the triangle pattern. This pattern has a very lowInitial Trend which confirms the consolidation on this timeframe. Tosee a break on this time frame -- assuming that the 60 minute chartcontinues lower -- there will need to be sustained weakness to reach,and go through uptrend line support currently at 1.0780. This wouldmake for what's known as a "one thing leads to another"-setup as the 60minute breakdown will lead into the potential 240 minute breakdown.
The breakdown on the 240 is also near the lower end of the 60 minuteForecast Region (support). Be careful to not be too over-eager toaggressively short the 240 while the 60 is still making its way to the1.0800 area.
These two patterns could compliment each other, so use some patience tosee if the short term psychology of the 60 minute is sustainable.
Consolidation Triangles have formed on the 60 and 240 minute charts ofthe USD/CHF.
The 60 minute chart is currently triggering an uptrend line breakdown asprices pierce support at 1.0845. With the Forecast Region supportwaiting below at 1.0810 to 1.0760, this breakdown points towards whatcould be U.S. Dollar weakness as the Swiss franc gains on the dollar.
The 240 minute chart is still ranging within the uptrend and downtrendlines that have formed the triangle pattern. This pattern has a very lowInitial Trend which confirms the consolidation on this timeframe. Tosee a break on this time frame -- assuming that the 60 minute chartcontinues lower -- there will need to be sustained weakness to reach,and go through uptrend line support currently at 1.0780. This wouldmake for what's known as a "one thing leads to another"-setup as the 60minute breakdown will lead into the potential 240 minute breakdown.
The breakdown on the 240 is also near the lower end of the 60 minuteForecast Region (support). Be careful to not be too over-eager toaggressively short the 240 while the 60 is still making its way to the1.0800 area.
These two patterns could compliment each other, so use some patience tosee if the short term psychology of the 60 minute is sustainable.
- 19 June |
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