CHF/JPY forecast for February 12, 2021
Looking at the chart on the weekly time frame, we see that the CHF/JPY pair is increasingly testing resistance at 118.00. Like last time in the analysis, we still expect the pair to break that limit and climb above 118.00. Following the moving averages, we can assume that the bullish trend will continue.
We are still looking at 120.00 as a potential target in the coming period. If we follow Fibonacci retracement levels, we see that the CHF/JPY pair found support at 23.6% at 115.00. According to these parameters, if we see 120.00, we can still approach the Fibonacci level of 38.2%.
On the daily time frame, we see that the CHF/JPY pair is testing the 118.00 zones; at the bottom, we support moving averages, which seem to give good support to the pair towards higher levels.
If we see that the CHF/JPY pair cannot break above and struggle, we can expect a pullback to 117.00. In this time frame, the pair moves in the side channel between 116.00-118.00. The decline in the Japanese yen’s strength can be blamed on the increase in the number of newly infected with Coronavirus and a new strain of the virus.
On the four-hour time frame, we see that the CHF/JPY pair is slowing down to higher levels for the last couple of hours and that we will probably see a pullback bar to the bottom trend line, which is potential support for the pair not to go into a bearish trend.
The previous pullback was until 117.30. Following the moving averages, we see that the CHF/JPY pair has support for now, and for some stronger bearish trend, it needs to break below them.
From the news for these two currencies, we can single out the following: Japanese Economy Minister Iasutoshi Nishimura said the following while transferring the burden to the Japanese medical system and lasting strength in the elderly and their infections. Afterward, the minister also announced that the government is maintaining a state of emergency for ten regions.
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