CHFJPY has been trading within a descending triangle, which is a continuation pattern, since June 2017. In a daily timeframe, the price posted the third consecutive green day. The pair tested several times the upper band of the triangle so a daily close above the descending triangle and the 115.10 strong barrier could drive the price towards the next immediate resistance level at 115.70 and 116.45, which coincides with the 200-week simple moving average (SMA). On the reverse side, in case of a bearish move, CHFJPY could hit again the significant lower band at 112.50.
Remaining in the short to medium-timeframe, the MACD oscillator entered the bullish area after a long time below zero but is moving with weakening momentum, while the RSI indicator is holding in the positive territory and is sloping to the upside. It is worth mentioning that the three simple moving averages (50, 100 and 200) are flattening below the current market price as they don’t give a clear signal during the creation of a pattern.
The pair has been developing within an ascending trendline over the last 1½ years in a medium-term chart and the anticipation is to continue the upward tendency.
