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The weekly candle that formed for the last 5 sessions in this pair is a breaking of the shooting star from the previous week. This is a very bearish sign, and under normal circumstances would have us shorting this pair. However, the Swiss franc isn’t a pair that we choose to own at the moment as the Swiss National Bank is currently trying to weaken the Franc, albeit against the Euro.
Because of this, the Franc could be prone to sudden weakness on intervention in that pair, and this will certainly move all XXX/CHF pairs as well. The US economy is expanding, and the Swiss economy certainly will be hurt by the problems going on in Europe. With all of this in mind, we aren’t willing to sell this pair. Going long is a possibility, but for longer-term traders, we prefer a break of the top of the shooting star from two weeks ago.