Technical analysis of USD/CHF for May 5, 2015

Overview:

• The price of the USD/CHF pair is probably going to form strong support at the level of 0.9277 (00% of Fibonacci retracement levels on the H4 chart). According to what is generally assumed, the market has formed the last bearish wave this week around the weekly double bottom. As a result, it should be noted that the price is going to form a double bottom at this level (0.9277). The level of 0.9300 acts as strong support because it is representing the first weekly support. So, the saturation is likely to take place around 0.9277. Moreover, the RSI indicators are also going to call for an uptrend at the same level with indicated above. Therefore, it is possible that the market will start showing bullish signs. In other words, buy deals are recommended above 0.9277 with the first target seen at the level of 0.9370 and further at 0.9000 to test the weekly pivot point. Thus, the level of 0.9430 and then 0.7478 are going to form a strong resistance (23.6% of Fibonacci retracement levels) on May 5, 2015. Additionally, the level of 0.7478 will act as a major resistance.

Intraday technical levels:

Date: 5/05/2015

Pair: USD/CHF

• R3: 0.9444
• R2: 0.9413
• R1: 0.9374
• PP: 0.9343
• S1: 0.9304
• S2: 0.9273
• S3: 0.9234

The material has been provided by InstaForex Company – www.instaforex.com