7645492 7/13/2017 12:22 PM, GBP/CHF intraday: the RSI is oversold


1.2457 is our pivot point.


Our preference

: target 1.2356.


Alternative scenario

: above 1.2457, look for 1.2495 and 1.2518.


Comment

: the RSI is below 30. It could either mean that the pair is in a lasting downtrend or just oversold and therefore bound to retrace (look for bullish divergence in this case). The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Moreover, the pair is trading under its 20 MA (1.2435) but above its 50 MA (1.2414).


Supports and resistances

:

1.2518 **

1.2495 *

1.2457 **

1.2442

1.2425 last

1.2379

1.2356 **

1.2333 *

1.2310 **