Technical analysis of GBP/CHF dated 24.10.2012
GBP/CHF in its descending trend from the top price of 1.54952 by reaching to the ascending trend line which is made of two supportive bottoms has been stopped and has been made the third point of this ascending trend line this supportive bottom has been fixed in the level of 1.48187 and has been confirmed by the next day ascending candle. As it is obvious in the picture below , right now in daily time frame AB=CD ascending pattern with the ideal ratios of 61.8 and 161.8 is observable that with the completion of the D point there is a warning about increase of price and ascend by this pattern .formation of the third point of ascending trend line with the end point of AB=CD pattern is a powerful signal in changing the trend direction. Stoch indicator in daily time frame is in the same direction with the signals of harmonic pattern and according to the next cycle, shows the potential of increase of the price during the next candles. Generally until the supportive bottom of 1.48187 is preserved, there is the possibility of increase and ascend of price in this currency pair.