After a big downward move earlier, USDCHF has been consolidating in an upward channel. This is usually termed as a bear flag.
Trading preference
The price is currently staying around the upper bound of the consolidation channel. This is often a good area to sell for a short term trade, the lower line of the channel being the target. However, we can also see a bigger longer term move, as bear flags when broken, can move down much lower. The case is also made stronger when we look at the bigger picture where we can also see a Head & Shoulders pattern.
Disclaimer: Our analysis and forecasts given on this website are just our point of view about the market. It is not a trading signal or investment advice.
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