GBPCHF closes higher for the 3rd day in a row
British Pound/Swiss Franc (GBPCHF) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, GBPCHF finished Wednesday at 1.1793 gaining 88 pips (0.75%). Closing above Tuesday's high at 1.1720, GBP/CHF confirmed its breakout through the prior session high after trading up to 92 pips above it intraday.
Daily Candlestick Chart (GBPCHF as at Sep 16, 2020):
Wednesday's trading range has been 131 pips (1.12%), that's above the last trading month's daily average range of 103 pips. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for GBPCHF.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 1.1729 (now S1), which is likely to act as support going forward. The last time this happened on Monday, GBPCHF gained 0.30% on the following trading day. Prices are trading close to the key technical resistance level at 1.1833 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Its common bullish interpretation has been confirmed for GBP/CHF. Out of 343 times, GBPCHF closed higher 53.06% of the time on the next trading day after the market condition occurred.
With four out of the seven Major FX Pairs closing higher today, the ones that stand out on the positive side are GBPUSD gaining 0.61% and NZDUSD closing 0.27% higher. On the flipside the worst performers have been USDJPY closing -0.47% lower and EURUSD losing -0.25%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been GBPPLN surging 0.81% and ZARJPY closing 0.78% higher. The worst performers of the day have been EURZAR tanking -1.42% and CHFZAR closing -1.28% lower. Read more