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USD/CHF has formed a Rising Wedge pattern on 1H chart. The pattern has 53% quality and 60% magnitude in the 83-bar period.
The pattern started when the pair bounced from 0.9263; currently it is trading at 0.9371. Gap between pattern's support and resistance narrows by 32 pips in 50 bar period. Technical indicators on aggregate point at appreciation of the pair on 4H horizon suggesting that the pair will continue to follow pattern's, upward sloping, trend. In addition, the SWFX market sentiment is bullish as 73% of all open positions on the pair are long. Long traders could focus on Fibonacci (38.2% of move since 5th of September)/daily pivot (R1)/Bollinger's band at 0.9380/82, pattern's resistance touch point (24th of September)/pattern's high/daily pivot (R2) at 0.9392/96 and pattern's resistance upper limit/daily pivot (R3)/Fibonacci (50%) at 0.9418/24.
Technical indicators on aggregate point at depreciation of the pair on 1H and 1D time horizons suggesting that we will see a minor bearish correction in the short term and that whole pattern could be a bullish correction of move since 5th of September. In the range of 100 pips from current market price 56% of all pending orders are to sell. Short traders could focus on 20 bar SMA at 0.9362, daily pivot (PP) at 0.9355, pattern's support touch point (25th of September)/Bollinger's band at 0.9343/41, daily pivot (S1)/Fibonacci (23.6%) at 0.9329/26 and daily pivot (S2)/200 bar SMA at 0.9314/15.
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