CHF/JPY may fall to 160.92 - 163.57

Our pivot point stands at 174.70.

Our preference

The downside prevails as long as 174.70 is resistance.

Alternative scenario

The upside breakout of 174.70, would call for 179.21 and 181.90.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is negative and below its signal line. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 175.38 and 174.98).

Supports and resistances

181.90 **

179.21 *

174.70 **

172.93

169.50 last

163.57

160.92 **

158.27 *

155.61 **

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