CHFAUD closes below its opening price unable to hold early session gains
Swiss Franc/Australian Dollar (CHFAUD) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, CHFAUD finished the month -1.99% lower at 1.5293 after losing 16 pips (-0.1%) today on low volume. Trading 77 pips higher after the open, the FX pair was unable to hold its gains as the bears took control ending the day below its opening price. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (CHFAUD as at Jun 30, 2020):
Tuesday's trading range has been 110 pips (0.72%), that's far below the last trading month's daily average range of 198 pips. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CHFAUD.
Four candlestick patterns are matching today's price action, the Bullish Doji Star and the Southern Doji which are both known as bullish patterns, one bearish pattern, the Gravestone Doji and one neutral pattern, the Doji. The last time a Bullish Doji Star showed up on July 31, 2017, CHFAUD gained 0.57% on the following trading day.
CHF/AUD shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Buying might accelerate should prices move above the nearby swing high at 1.5425 where further buy stops could get triggered.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Southern Doji" stand out. Its common bullish interpretation has been confirmed for CHF/AUD. Out of 45 times, CHFAUD closed higher 51.11% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 57.78% with an average market move of 0.24%.