The GBP/CHF quotations on the day chart start to look interesting. More than half a year’s downward trend is well respected, and after a period of hesitation at the bottom edge, the price starts to bounce back to higher levels. The local resistance in region 1.26 has been broken, which may herald a further rise towards the upper edge. Interestingly, the periods of decline, which were followed by even a small reflection, have almost identical ranges. The same happens now, so the technical side should be on the side of the buyers. However, the issue of what is happening in the British Parliament is of key importance for the quotations of this currency pair. The market is constantly receiving news and rumours. Recently, there has often been the talk of postponing leaving the EU. It is not known how much truth there is in this, because other reports also inform about early elections or even about a new referendum. It seems, however, that the market is valuing a scenario in which politicians will not allow for a chaotic Brexit, due to the excessive costs to the British economy, so the pound may become stronger, at least until more information arrives.
Next week on 19th January we plan a webinar for traders, members of our Facebook group. On our group is a poll, if interested ad yourself to attendants. Join us in our new group for serious traders, get fresh analyses and educational stuff here: https://www.facebook.com/groups/328412937935363/
Link to registration to our webinary:
https://webinar.getresponse.com/B5A2/trading-with-macd—strategies-based-on-price-action-and-macd
