GBP/CHF may rise 46 - 62 pips

Our pivot point is at 1.1202.

Our preference

The upside prevails as long as 1.1202 is support.

Alternative scenario

The downside breakout of 1.1202 would call for 1.1174 and 1.1157.

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 above its 20 and 50 period moving average (respectively at 1.1200 and 1.1213). Finally, the GBP/CHF has crossed above its upper Bollinger band (1.1224).

Supports and resistances

1.1323 **

1.1306 *

1.1289 **

1.1273

1.1227 last

1.1213

1.1202 **

1.1174 *

1.1157 **

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