Technical analysis of GBP/CHF for May 22, 2014

Technical outlook and chart setups:

1. The GBP/CHF pair seems to be stalling just a few pips ahead of resistance at 1.5120/30 as seen here. The pair might have managed to resume the uptrend but a retracement towards 1.4700 levels is due any moment. Recommendations are to still remain short with risk at 1.5120/30. One should refrain from buying at the moment.

2. Support is seen at 1.4900 levels, followed by 1.4780, 1.4620, 1.4550 and lower, while resistance is seen at 1.5120/30 respectively.

3. The structure indicates that the GBP/CHF pair could be heading higher but needs to correct before gaining further momentum.

Trading recommendations:

Remain short stop at 1.5120/30 OR Remain flat and look to buy lower.

Good luck!

The material has been provided by InstaForex Company – www.instaforex.com