An upward move in the CHFJPY
rate is expected, as the price has been posting lower lows over the past few days, while the stochastic
has been posting higher lows, indicating divergence and a possible trend reversal. A long trade on the pair is suggested as the stochastic
has moved out of the oversold zone and the price action is beginning to trend higher. The price of services traded among companies in Japan showed 3.5% annual growth for August, below expectations of 3.7%. This development is bearish
for the JPY and should appreciate the CHFJPY
in the short term.
Take profit level at 115.670 under the first Fibonacci resistance at 115.736.