FxWirePro: CAD/CHF fails to hold break above 200-DMA, break below cloud to see further weakness

Refer CAD/CHF chart on Trading View

• CAD/CHF is trading in a narrow range, with a day's high at 0.7565 and low at 0.7552.
   
• The pair is trading in a 'Symmetric Triangle' pattern on daily charts and breakout will provide clear directional bias.
   
• Price action has failed to hold break above 200-DMA and daily cloud and has slipped below.
   
• The pair is currently trading below 200-DMA and with daily cloud. Break below cloud will see further weakness.
   
• Momentum indicators are bearish. Stochs sharply lower and RSI below 50.
   
• Break below daily cloud raises scope for test of trendline support at 0.7490. Violation there could see further weakness.
   
• On the flipside decisive break above 200-DMA and daily cloud will see test of trendline at 0.7655. Breakout there to see further upside.

Support levels - 0.7545 (50% Fib), 0.7537 (cloud base), 0.7490 (trendline)

Resistance levels - 0.7574 (5-DMA), 0.7601 (200-DMA), 0.7631 (cloud top)

FxWirePro Currency Strength Index: FxWirePro's Hourly CAD Spot Index was at -71.0923 (Neutral), while Hourly CHF Spot Index was at 102.999 (Bullish) at 0745 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.