GBP/CHF
Although I don't track these pairs much, I can't stay away from a Good Setup..
The Pair has started moving in Downtrend since 19th Nov 2015. After hitting a High on that day, the pair started falling and formed a falling channel to continue..
The Pair Recently moved in an Express short term upTrend to reach the Falling Channel Resistance.
The 50 SMA moving Average is exactly matching the Resistance of the Channel and it is making the Resistance more strong to break. We may Sell the Pair close to the Resistance for a Good move Down.
The Pair GBP/CHF on H4 chart.. showing the Express trend has already finished and the short term Trendline support already break.. Now Testing the Short Term and Long Term Trendline Resistance for the Confirmation. Here again the 200 SMA is Working as a Tough Resistance at the current high.
The Resistances are Tough Now and it is always advisable to Sell the Pair for a Good Downside. Here the Risk Reward favors the downside.
Our Recommendation is :
SELL GBP/CHF @ 1.4190 - 1.4200 zone with a Stoploss around 1.4260 and Take Profits around 1.4070 - 1.3980 - 1.3880 and we may even see the pair well below 1.3800 - 1.3600
Risk of approx 80 pips and Reward of minimum 120 pips at First Take Profit and 300 pips at 1.3880 is a good deal. Consider your Risk appetite before entering the trade and calculate Lot sizes accordingly.
Don't complicate charts with complex indicators, keep it Simple. :)
