Forex Market: GBP/CHF daily forecast

During yesterday’s trading session GBP/CHF traded within the range of 1.5317-1.5378 and closed at 1.5348, losing 0.13% for the day.

At 6:42 GMT today GBP/CHF was losing 0.04% for the day to trade at 1.5340. The pair touched a daily low at 1.5332 at 4:25 GMT.

Fundamental view

Activity in United Kingdom’s sector of manufacturing probably slowed down in July, with the corresponding PMI coming in at a reading of 57.2, according to the median forecast of experts, down from 57.5 in the previous month, that was the strongest since November 2013. The index is based on a survey, encompassing managers of companies, that operate in sectors such as manufacturing, mining, utilities. They are asked about their estimates, regarding current business conditions in the sector in terms of new orders, output, employment, demand in the future. Values above the key level of 50.0 signify that activity in the sector has expanded. Higher than projected PMI readings would certainly heighten the appeal of the sterling. The Chartered Institute of Purchasing and Supply (CIPS) is expected to announce the official reading at 8:30 GMT.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 1.5348. In case GBP/CHF manages to breach the first resistance level at 1.5378, it will probably continue up to test 1.5409. In case the second key resistance is broken, the pair will probably attempt to advance to 1.5439.

If GBP/CHF manages to breach the first key support at 1.5317, it will probably continue to slide and test 1.5287. With this second key support broken, the movement to the downside will probably continue to 1.5256.

In weekly terms, the central pivot point is at 1.5367. The three key resistance levels are as follows: R1 – 1.5427, R2 – 1.5493, R3 – 1.5553. The three key support levels are: S1 – 1.5301, S2 – 1.5241, S3 – 1.5175.