USDCHF stays below the falling trend line

Franco Shao from ForexCycle.com at 10/23/09

 

USDCHF stays below the falling trend line on 4-hour chart and remains in downtrend from 1.0452. As long as the trend line resistance holds, we’d expect downtrend to continue and deeper decline towards 0.9950-1.0000 area would more likely be seen later today. However, a clear break above the falling trend line will suggest that a short term cycle bottom has been formed and the downtrend from 1.0452 has completed already, then the following uptrend could take price back to 1.0300 zone.