GBPCHF on the H4 chart recently set a high near 1.3195. Since then the bears have been controlling the pair’s quotes.

So far, they have been able to break the channel line and test support at 1.2950 again. The mentioned channel line, after breaking down, is now a resistance, and its test in that role took place during yesterday’s session.

A positive test of the new resistance -channel edge – still indicates that the ongoing upward movement is just a rebound correcting the strong supply candle.

However, closing below support 1,2950 will be a confirmation of the above scenario. As long as this does not happen, the pair will stay in consolidation between this level and the resistance around the recent maximum at 1.3195.

I’m trading this pair with XM broker. Check out how profitable trade terms XM broker has.

The closest support for a bearish scenario is around 1.2775. The next key level of defense is visible near 1.2500.

Error, group does not exist! Check your syntax! (ID: 3)