Key Points
- The British Pound recovered well after trading as low as 1.2300 against the Swiss Franc.
- There is a bullish trend line formed on the hourly chart of GBPCHF, which may act as a support on the downside near 1.2320.
- Today in the UK, the RICS Housing Price Balance survey was released by the Royal Institution of Chartered Surveyors
- The result was below the forecast, as there was an increase of 24%, less than the forecast of 30% in Dec 2016.
GBPCHF Technical Analysis
The British Pound recently dipped from the 1.2440 high to 1.2300 against the Swiss Franc where it found support and started trading higher. There is also a bullish trend line formed on the hourly chart of GBPCHF, which may act as a hurdle near 1.2320 if the pair trades back down.
At the moment, the pair is facing a major hurdle near 1.2400 and 1.2420, which acted as a resistance on many occasions earlier as well.
So, it won’t be easy for the bulls to break it. But, if they do, then a retest of 1.2440 is likely going forward.
RICS Housing Price Balance
Earlier today, the RICS Housing Price Balance survey, which presents housing costs in the UK. It shows the strength of the UK housing market was released by the Royal Institution of Chartered Surveyors.
The market was positioned for a reading of 30% in Dec 2016, compared with the last 30% (revised to 29%). The result was below the forecast, as there was an increase of 24%. The report added that “While it remains to be seen if this is a temporary setback, 1% more chartered surveyors saw a fall rather than a rise in sales last month, and figures for predicted sales over the next three months across the UK also saw a noticeable slow down”.
Overall, the market sentiment remains positive for the British Pound, and there is a chance of GBPCHF breaking 1.2400 for more gains.
