Technical Analysis of AUD/CHF for March 31, 2016
After AUD/CHF found the bottom around 0.6800, the price started to move higher and broke above the descending Fib channel. It seems that the price had a false breakout above the 161.8% trend line as afterwards the price rejected this level for 4 consecutive times.
The Fibonacci applied to the channel breakout point shows that currently, the price remains right at the resistance R1 (0.7415) that is 23.6% level and at the same time it has rejected the Fib trend line.
Overall, it is likely that the price will start correcting down towards one of the support levels. Consider selling AUD/CHF while the price is near R1, targeting either S1 (0.7285), S2 0.7185) or S3 (0.7085) as a final target. The stop loss should be well above the R1.
Support: 0.7285, 0.7185, 0.7085
The material has been provided by InstaForex Company - www.instaforex.com