CHF/JPY 4H Chart: Channel Down

CHF/JPY is estimated to receive a considerable bearish impetus soon, which is going to be provided by the 100-period SMA at 130.28. Moreover, the negative scenario is quite likely due to the pair's current location near the upper boundary of the pattern. Both 4H and daily technical studies see the pair lower in short and medium-term, respectively, while 71% of SWFX market participants are holding short open positions. Firstly, the Franc is expected to retreat down to the monthly S1 at 128.88. The second target is placed as low as 127.19/126.79 (monthly S2/Jul 8 low). Meanwhile, a rebound is not off the table as well, with weekly technical studies pointing slightly upwards.