Selling into rallies in EURCHF with a possible top in place

Monthly: Hard to take too much away from the longer timeframe as most brokers have different low trades from the January 2015 spike. What we can note is the fact we will post a bearish Outside Month.

Weekly: Bearish divergence can be seen on the weekly chart. Chart makes a higher high while the oscillator (RSI) makes a lower high, often seen before the change of a trend. We have posted an Evening Doji Star from the high (topping pattern). Last weeks Marabuzo (mid-point from open and close) is located at 1.1690

Daily: Broken out of the Ending Wedge formation to the downside. The measured move target is 1.1258. We have bespoke support inside this level at 1.1292. Reverse trend line resistance, and a solid barrier, is seen at 1.1728

Intraday (four-hours) – Levels close to the 261.8% extension level of 1.1515 found buyers. The most important fact is that our bespoke support at 1.1565 is attracting bulls. With the medium-term outlook bearish, we expect rallies to be corrective and limited. Setting shorts close to 1.1670 with a stop above the reverse wedge resistance and the wedge target at 1.1258 (bespoke inside at 1.1292) offers great risk/reward.