Last week the situation on the EUR/CHF market did not change significantly. The currency pair was trading in a quite narrow horizontal channel 1.2060-1.2130 and closed with a small profit corresponding to the Ichimoku Indicator on the W1 timeframe.
The Ichimoku Cloud is still of an uprising character and moves within a narrow channel. The Tenkan-Sen and the Kijun-Sen lines keep the “golden cross” (5) active. The maintenance of the local extremes at the same levels determined the lateral motion of the Indicator lines. Indeed, all of them (1, 2, 3, 4, 5) are located in parallel with the time axis.
Nevertheless, the location of prices below the Senkou Span A is likely to result in the downward movement of the currency pair. The support level 1.1950 is still active.
On the D1 timeframe the downward trend remains active. Despite the sideways movement that took place during the whole previous week the prices did not manage to overcome the resistance level of the Tenkan-Sen line and enter the Tenkan-Kijun Channel (3, 4).
Therefore, it is necessary to mention that the bearish pressure has strengthened. Actually, all the Indicator lines are ready for the further downward movement.
So the Predictive lines (1, 2) are directed downwards increasing the negative character of the Ichimoku Cloud. The Tenkan-Sen and the Kijun-Sen lines are supporting the traders intended to buy with the help of the “dead cross” (5).
That is why the probability of the further pair decline is very high. The primary target is located at level 1. 1930.