Swiss Franc versus Japanese Yen fell from our strong resistance and price action 120.70 because of failing to break above the Senkou Span A of the ichimoku cloud and falling low in bullish momentum for the support of up thrust. We anticipated this move in our previously published analysis on 29th Aug, expecting CHFJPY will be failed in breaking above our key price action or provide us a with a fractal prominent bullish closing above i.e 121.0 while also landing below our four hourly exponential moving averages 8, 13 and 21 which indicated that bears will be driving the market lower. From the current market perspective, 61.8% fibb retracement level and exponential moving average 200  in daily will be our deciding point on temporary projections because the extended consolidation seems to be accumulating itself now by making lower highs and lower lows in four hourly and daily time frame inside a smaller degree of bearish pennat. 

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

At the moment CHFJPY standing above 119.30 and exponential moving average 200 in daily is providing signs of bullish reversal again but relative strength index and MACD in weekly and daily time frame is showing lack of bullish momentum. If we get a bullish closing above 61.8% fibb level - would indicate that the pair will be leading its way towards 120.54 and further closing above will target 121.24. On the bearish side a closing below 119.30-119.0 would target 50% fibb retracement level at 118.25, turning the lower trend line acting as a support into strong resistance along side 119.30 because this move would then be breaching the major weekly support and indicating that CHFJPY will be completing its bearish correction of higher degree. 

CHFJPY

Sep 09 2021