Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

AUD/CHF Forex Signal: Tests 200 Day EMA

By Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

Potential signal:

  • I’m a buyer of this pair above the 0.5864 level, with a stop loss at the 0.5825 level.
  • I would be aiming for the 0.60 level above.

AUD/CHF Forex Signal Today 27/9: Tests 200 Day EMA (graph)

In my daily analysis of minor currency pairs, one of the ones that has caught my attention more than anything else is the AUD/CHF pair. There are a multitude of reasons why watch this pair, not the least of which would be that it is such a major indicator on risk appetite, becomes the Australian dollar of course is considered to be a “risk on currency”, while the Swiss franc is considered to be a “risk off currency.”

Top Forex Brokers

1
Get Started 74% of retail CFD accounts lose money Read Review

Technical Analysis

The technical analysis for this market is somewhat bullish, but we do have to deal with the 200 Day EMA, which of course is just above. The 200 Day EMA is an indicator that has been followed quite closely for some time, and a lot of people will look at it as a sign of the overall direction. If we were to break above there, then that would obviously be very bullish, opening up the possibility of a move to the 0.59 level, perhaps the 0.60 level after that.

If we do pull back from here, I think there’s plenty of support underneath, near the 0.5765 level, which also features the 50 Day EMA, an indicator that a lot of people pay close attention to as well. All things being equal, I think a short-term pullback is more likely than not going to end up offering a little bit of value the people will be willing to take advantage of. If we were to break down below the 50 Day EMA, then the market could find itself spiraling, perhaps reaching down to the 0.5650 level, and with that, we would also probably see more of a “risk off move” around the currency markets, perhaps as well in the stock markets and others at the same time.

That being said, I do think that the upward momentum certainly looks good, and therefore I think we’ve got quite a few value hunters willing to come in and pick up this market if it does in fact drop from here.

Ready to start trading our free daily Forex signals? Get our top rated Forex brokers to open a demo account with.

Christopher Lewis
About Christopher Lewis
Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.
 

Most Visited Forex Broker Reviews