We are going to add the daily USD/CHF to our watch list, along with the USD/JPY and EUR/USD. Sellers are coming off a double test of projected resistance level D, as compared to leg A-B, projected from C. The market has given up 250 points from resistance, and all that stands in the way of the remaining 450 points at low point C is the uptrend support shown in orange.

That break of support should occur just below the figure, at 1.2290. If we get the break tonight, expect the market to trade down a 1.2275 area low before retracing back to the 1.2300 level. This is your chance to get short with stops not closer than 30 points. The target will remain open as the trade develops.

Todd Gordon is a Technical Currency Strategist and Fund Trader with GAIN Capital Group.

Disclaimer
The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.