USDCHF--Monday, August 1, 2011
A few charts showing a confluence of targets below 0.7800, specifically circa 0.7775. Say 0.7800 to 0.7740, just to be careful.
First a pattern on the weekly chart showing a 4.236 Fibonacci target on a price pulse unfolding from a base formed in January.
Notice how we had some initial support around the 1.618 and 2.618 level. Furthermore, once breached, the 2.618 level provided resistance.
On a 4 hour chart, the price action between the 2.618 and 4.236 levels (with internal Fibonacci levels):
There is a lesser price pulse which can be seen on the 4 hour chart. The base was formed mid July. The 2.618 target of this pattern is the same as the 4.236 target of the larger pattern seen on the weekly chart.
