I’m seeing a possible countertrend alternative on the short-term chart of CHF/JPY.

However might this pair have a shot at extending its rallies previous these near-term resistance zones?

Earlier than transferring on, ICYMI, I’ve listed the potential financial catalysts that it’s worthwhile to be careful for this week. Examine them out earlier than you place your first trades at this time!

And now for the headlines that rocked the markets within the final buying and selling periods:

Contemporary Market Headlines & Financial Knowledge:

Employee unions in Japan name for common of 4.% wage hike – greatest improve since 90s – throughout spring wage talks

Chinese language gov’t work report launched opening of the Nationwide Folks’s Congress revealed a decrease than anticipated progress goal of 5% for 2023 vs. estimates at 5.5%

ECB head Lagarde: Brief-term core inflation continues to be going to be excessive, so additional fee hikes “very very probably” with a view to deliver inflation again to 2% goal

New Zealand stories 1.3% month-over-month rebound in commodity costs for February, following earlier 0.9% dip – ANZ

Australia’s MI inflation gauge exhibits 0.4% month-over-month improve in costs for February, slower than earlier 0.9% achieve

Swiss CPI surprises to the upside with 0.7% month-over-month achieve for February versus estimates of a slower 0.5% uptick and former 0.6% achieve

Bitcoin suffers one other 6% plunge to $22,000 ranges as buyers await chapter updates on Silvergate

Worth Motion Information

Overlay of CHF Pairs 15-min

The lower-yielding Swiss franc had already been raking in some good points in the direction of the tip of the earlier week, earlier than the rally picked up on the discharge of the February CPI.

The precise determine confirmed a 0.7% improve in worth ranges month-over-month, opposite to expectations of a slower 0.5% uptick.

With that, the Swiss forex popped sharply increased throughout the board, notably in opposition to the Kiwi, which barely drew assist from the pickup in ANZ commodity costs.

Canadian Ivey PMI at 3:00 pm GMT
U.S. manufacturing facility orders at 3:00 pm GMT
Japanese common money earnings at 11:30 pm GMT
Australian retail gross sales at 12:30 am GMT (Mar. 7)

Use our new Foreign money Warmth Map to shortly see a visible overview of the foreign exchange market’s worth motion! 🔥 🗺️

Technical Chart of the Day: CHF/JPY

CHF/JPY 15-min Foreign exchange Chart by TradingView

Stronger than anticipated Swiss CPI might have boosted the franc, however how lengthy might these rallies final?

CHF/JPY is already hitting the Commonplace Pivot Factors R1, which occurs to coincide with a bunch of different resistance zones.

Not solely does it coincide with the highest of a rising channel on the short-term time-frame, however it’s additionally proper round the day past excessive.

Spot these reversal candlesticks proper on the channel high, too!

If the ceiling holds, CHF/JPY might retreat to the channel assist close to the 145.00 deal with. A break increased, alternatively, might spur a transfer as much as R2 (145.88) and even R3 (146.18)

Observe that this pair strikes an common of 118 pips per day, so it’d even have some room to move increased based mostly on at this time’s vary.