CHF/NOK may rise 520 - 760 pips

12.3820 is our pivot point.

Our preference

The upside prevails as long as 12.3820 is support.

Alternative scenario

The downside breakout of 12.3820 would call for 12.3410 and 12.3170.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 12.3736 and 12.3678). Finally, the CHF/NOK is trading above its upper Bollinger band (standing at 12.4122).

Supports and resistances

12.5530 **

12.5290 *

12.5050 **

12.4810

12.4290 last

12.3970

12.3820 **

12.3410 *

12.3170 **

Number of asterisks represents the strength of support and resistance levels.