USD/CFH Is Resuming The Move North

Despite the beautifully formed pennant USD/CHF won’t depreciate – on the contrary, it will move north and at this stage there is little doubt about that.

The pair has been developing in a relatively tight consolidation (for such a large time frame like the monthly one) for three months between 0.944 and 0.974. In the meantime it managed to form three spinning top bars on the same time frame right above the support zone at 0.944-0.950.

These bars are an unambiguous signal that we will see a rally in the medium term. The first resistance level to the upside is around 0.9850, followed by 1.030 and above is the red resistance trend line, so the rally could reach 1.056 – 1.060.