Technical analysis of USD/CHF for January 21, 2014

Overview:

• The USD/CHF pair probably will form a strong support at the level of 0.8990 (above 38.2% of Fibonacci retracement levels, as well as it will also form a sturdy resistance at the 0.9150 level in the H1 chart. Equally important, it should be noted that the price is going to form a double bottom at 0.8986 (the last bearish wave for the last week). Furthermore, the saturation is likely to take place around 0.8990, since this level also formeds the first strong support on January 17, 2014. Consequently, it is possible that the market will start showing bullish signs, thence it will too useful to buy deals are recommended above 0.8990 with the first target seen at the 0.9080 level and further at the 0.9150 price. Thereupon, it also should be noted that the level of 0.9150 will represent strong resistance today at the price of 0.9151 (78.6% of Fibonacci retracement levels).

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