A large pattern formation for EUR/CHF on the
weekly time frame. Price has been rejected at the 78.6%
Fibo retracment level and now it seems that price will
re-test this level.
It seems likely that a could be formed, also
supporting this is the clear divergence as indicated below.
Below there is still the matter of a large GAP dating back
to last years French election; I personally don't see how
this pair could continue a path without the closing
of the GAP. The close of the GAP is just under the 38.2%
Fibo retracement, thus, a significant level for a
trend continuation from that level.
A close below the highlighted significant
would most likely drive this pair to parity or lower (good
for me living in Switzerland).
Three short trades up for grabs (all in a 2:1 RvR ratio)
Entry: Price rejection at 1.1833 or 1.1807
Entry: Close below 1.14466
Entry: Close below 1.10570
Take profit levels 2 and 3 are measured objectives of
potential double top: head 1.0833 & neckline 1.14466
Alternatively one could also start shorting this pair
immediately from looking at the tiny candle formed
this past week; should you choose to do so place stops above
1.1833 and T/P at 1.14466
Beware that this pattern will become invalid if price closes