CHF/PLN may rise 176 - 261 pips

Our pivot point is at 4.6241.

Our preference

The upside prevails as long as 4.6241 is support.

Alternative scenario

The downside breakout of 4.6241 would call for 4.6098 and 4.6013.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 4.6215 and 4.6178). Finally, the CHF/PLN is trading above its upper Bollinger band (standing at 4.6357).

Supports and resistances

4.6816 **

4.6731 *

4.6646 **

4.6561

4.6385 last

4.6297

4.6241 **

4.6098 *

4.6013 **

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