Possible minor top formation: Profit-taking (100 pips)

Writtern by www.imperialFXonline.com

Rate: 1.1120
Strategy: Exit short
Position hold: Short at 1.1220

Resistance level: 1.1263 / 1.1324 / 1.1388 / 1.1532 / 1.1742
Support level: 1.0925 / 1.0899 / 1.0748 / 1.0602 / 1.0502

  • Overbought shorter term oscillators to cap price below 1.1263
  • Below 1.0925 calls for temporary top formation


The dollar's near term rally has accelerated on the back of the euro's selloff and a new high for the year at 1.1201 has been seen as the greenback benefits from safe-haven buying interest, the overbought shorter-term oscillator readings should limit the usd/chf's upside for now and a minor pullback is likely before another upmove takes place later with potential for the recent uptrend from the 2009 low of 0.9916 to extend to 1.1230.

A sharp intra-day fall due to aggressive cross trading flows has given us a good opportunity to take profit (100 pips). On the downside, only below 1.0925 (April 28 high) would call for a temporary top formation.

Writtern by www.imperialFXonline.com

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