GBPCHF Watch This Before Buying

Tues 31st January 2023 : Daily Currency Strength Analysis

In Today’s Video we’re looking at Trading Setups in:

• GBPCHF
• USDCHF

GBPCHF Watch This Before Buying

In today’s currency strength video we identified that the Great British Pound (GBP) and Swiss Franc (CHF) are the only two currencies that show a confluence between the two tables.

The strength and weakness of the currencies have dramatically changed overnight, this is largely due to the upcoming high impact news events.

This leaves us focusing on GBPCHF and the key levels surrounding this forex pair.

The price of GBPCHF has found resistance at the 1.1425, which is the neckline of a double top pattern which formed at 1.1550.

If the currency strength and weakness table are suggesting we should look for long ideas we need this pattern to fail.

Instead we need to see the price close above the 1.1425 resistance, this would then see sellers exit the market and we would likely see buyers enter.

Targets for traders long will be the resistance of 1.1550 and the daily 200 moving average just below.

Technical Observations

• The GBP is S3 and CHF is W3 on the day traders table.
• Price is finding resistance at the double top neckline of 1.1425.
• The price is trading within a bullish wedge pattern which could see a break lower.
• If the price can trade higher and close above then price could trader higher.
• Buyers will target 1.1550 resistance.