USD/CHF: A market rally will soon be overdue.

Support at 1.0032 held until near the end of November. The February 18th, 2008 low of .9784 is almost certain to be tested in the next short while. There is minor support at .9934. Beyond that the way is fairly clear to the 15 year low of .9784, mentioned above.

Other downside targets range to .89 and beyond, however a market rally will soon be overdue.



TECHNICALS
KELTNER CHANNEL – Framing recent resistance and support quite well.
SMA200 – down-sloping at 1.0690 (not shown on chart)
EMA 20 – down, in support of the down trend.
Stochastic – in oversold territory
MACD – strong down but diverging from price.
R1 – nearby resistance at 1.0032
R2 -1.0223
R3 – more distant resistance at 1.0660.
S1 – nearby support at 1.0032
S2 - .9934
S3 - .9784

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Article and Commentary by Don Schellenberg. A trader and trading coach, he is a noted expert on Market Structure, Elliott Wave and Fibonacci. He trades the forex market.