AUD/CHF continues fall inside the daily Down Channel chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Down Channel at the 6-bar level – which is the result of the slow Initial Trend (one bar), high Uniformity (8 bars) and maximum Clarity (10 bars). AUD/CHF expected to fall further inside this Down Channel – in line with earlier breakout of the key support area shown below.
As can be seen from the daily AUD/CHF chart below, the pair recently broke the key support area lying between the support level 0.7140 (which stopped the previous impulse wave earlier this month) and the support trendline of the longer-term down channel from May. This price zone is acting as a strong resistance area after it was broken. The proximity of this resistance area increases the probability AUD/CHF will continue to fall inside this Down Channel.
