USDCHF formed a short term cycle bottom

Franco Shao from ForexCycle.com at 02/12/10

Being supported by the lower border of the rising price channel, USDCHF formed a short term cycle bottom at 1.0608 level on 4-hour chart. Sideways movement is expected in a range between 1.0608 and 1.0794. A break above 1.0794 will signal resumption of uptrend from 1.0132, then another rise towards 1.0900 could be seen to follow. However, a breakdown below 1.0608 support will indicate that the uptrend from 1.0132 has completed at 1.0794 already, then pullback could be seen to 1.0500 or even lower.