USD/CHF: the best region to go short from has been identified

22 May 2023

First of all, taking a look at the Weekly-timeframe graph, we might observe how the price has succeeded in rejecting the crucial area of resistance that aligns with the 38.2% Fibonacci retracement level. Zooming into the DAILY TF graph illustrated on the right-hand side of the screen, it can be identified that the price has printed a long wick by rejecting the local area of support, and that it is headed towards the upside. Since our long-term view remains bearish, we will await the price reach the key region highlighted on the graph and contribute to forming a nice Top Pattern formation before we look into going short and targeting the Weekly TF Lower Low level.