FX.co ★ AUD/CHF downtrend continues

AUD/CHF has been moving downwards within a descending channel clearly stating about the trend being down. As per my previous analysis, the pair hit the target at 0.7040 and broke below opening the doors for bears once again.

After the breakout of the strong support R2 (0.7091) and then S1 (0.7041) – 161.8% Fibs level, the pair retested R2 on a correctional move up and rejected it. The rejection is a confirmation of another swing down towards the next Fibs level – 261.8% (0.6893).

Consider selling AUD/CHF near S1 or on any minor pullback to target 0.6893. A daily close above 0.7091 would invalidate these analysis.

Support: 0.7041, 0.6893

Resistance: 0.7091