By: John Ursus
Timeframe: H4 Recommendation: Long Position
Entry Zone: 0.7900 – 0.7930
Take Profit Zone: 0.8900 – 0.8930
Stop Loss Zone: 0.7700 – 0.7730
The CADCHF has corrected alongside its descending resistance level as visible in this H4 chart. The resistance is provided by the CADCHF’s Fibonacci Fan and over the past few trading session the sell-off has accelerated which caused price action to become disconnected from its downward trajectory.
The CADCHF is currently approaching a very strong support level and is presently trading at the upper end of this support level. Geopolitical issues in Ukraine will provide a safe-haven boost to the Swiss Franc which may also be assisted by a short-covering rally. The CADCHF should be able to successfully tests its ascending resistance level.
