CAD/CHF: Ichimoku clouds 24 January 2019, 08:05

CAD/CHF: Ichimoku clouds

24 January 2019, 08:05

Scenario
Timeframe	Weekly
Recommendation	SELL STOP
Entry Point	0.7430
Take Profit	0.7382
Stop Loss	0.7457
Key Levels	0.7447, 0.7460

Alternative scenario
Recommendation	BUY STOP
Entry Point	0.7457
Take Profit	0.7474
Stop Loss	0.7430
Key Levels	0.7447, 0.7460

Let's look at the four-hour chart. Tenkan-sen line is below Kijun-sen, the lines are horizontal . Confirmative line Chikou Span has crossed the price chart from above, current cloud is ascending. The instrument has entered the cloud. The closest support level is the lower border of the cloud (0.7430). The closest resistance level is the lower border of the cloud (0.7457).



On the daily chart Tenkan-sen line is above Kijun-sen, the red line is directed upwards, while the blue one remains horizontal. Confirmative line Chikou Span is approaching the price chart from above, current cloud is descending. The instrument has broken through Tenkan-sen and Kijun-sen lines. The closest support level is Tenkan-sen line (0.7447). The closest resistance level is the upper border of the cloud (0.7460).

On the four-hour chart the instrument is trading within the cloud. On the daily chart we can see the beginning of the trend reversal. It is not recommended to open positions at current price. Pending orders should be placed at the cloud’s borders: sell at the level of 0.7430, with Take Profit at 0.7382 and Stop Loss at 0.7457; buy at the level of 0.7457, with Take Profit at 0.7474 and Stop Loss at 0.7430.