FxWirePro: AUD/CHF rejected at 200-DMA, good to go short on rallies

• AUD/CHF rejected at 200-DMA, the pair has edged lower from highs of 0.7522 to currently trade at 0.7494.
   
• RSI nicely converging with price action suggests more downswings on cards.
   
• On the weekly charts, price action is holding above 50-SMA at 0.7457. A break below will see further drag.
   
• Hammer formation seen on daily charts which raises downside risks.
   
• Major support seen at 0.7400 (trendline). Violation there could see 0.7250 levels.

Support levels: 0.7478 (1H 200-SMA), 0.7452 (5-DMA), 0.74 (trendline)

Resistance levels: 0.7512 (200-DMA), 0.7544 (April 24 high), 0.7551 (38.2% Fib retrace of 0.7807 to 0.7394 fall), 0.76 (50% Fib)

TIME  TREND INDEX  OB/OS INDEX    

1H          Bearish                Neutral    

4H          Neutral                 Neutral    

1D          Bearish                 Neutral    

1W         Bearish                 Neutral    

Recommendation: Good to go short on rallies around 0.7490/0.75, SL: 0.7555, TP: 0.7450/ 0.74/ 0.7350

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 122.437 (Bullish), while Hourly CHF Spot Index was at -69.3057 (Slightly Bearish) at 0900 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.