FxWirePro: GBP/CHF hovers around 20-DMA, good to go short on decisive break below

GBP/CHF chart on Trading View used for analysis

• GBP/CHF is extending bearish gap open, trades 0.57% lower on the day at 1.2966 at the time of writing.
   
• The British pound under pressure on Brexit uncertainty.  EU has rejected May’s plan for an independent mechanism to oversee Britain’s departure.
   
• Technical indicators on daily charts are turning bearish. RSI has turned and Stochs are showing a bearish rollover from overbought levels.
   
• We also see -ve DMI crossover on +ve DMI and MACD is on verge of a bearish crossover on signal line.
   
• Price currently hovers around 20-DMA support and decisive break below will see further weakness.
   
• Next major support lies at 38.2% Fib at 1.29 ahead of 1.2816 (50% Fib) Bearish invalidation only on decisive breakout at 200-DMA.

Recommendation: Good to go short on decisive break below 20-DMA, SL: 1.3090, TP: 1.29/ 1.2820

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.