Overview: USD/CHF is consolidating with bearish bias after hitting one-and-a-half year low of 0.8965 Thursday. It is undermined by negative dollar sentiment, flows to the haven franc amid increased aversion. But USD/CHF losses are tempered by positions adjustment before weekend. Daily chart negative-biased as MACD is bearish, stochastics stays suppressed at oversold, 5- and 15-day moving averages are declining.
Trading recommendation:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. A short position is recommended with the first target at 0.8965 in view; a breach of this target will move the pair further downwards to 0.8935. The pivot point stands at 0.903. In case the price moves in the opposite direction, bounces back from support, and moves above its pivot point, then the price is most favorably expected to move further to the upside, In that scenario a long position is recommended with the first target at 0.906 and the second target at 0.9075.
Support levels: 0.8965 0.8935 0.8875
Resistance levels: 0.906 0.9075 0.91
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
USD/CHF is consolidating with bearish bias after hitting one-and-a-half year low of 0.8965 Thursday. It is undermined by negative dollar sentiment, flows to the haven franc amid increased aversion. But USD/CHF losses are tempered by positions adjustment before weekend. Daily chart negative-biased as MACD is bearish, stochastics stays suppressed at oversold, 5- and 15-day moving averages are declining.
Trading recommendation:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. A short position is recommended with the first target at 0.8965 in view; a breach of this target will move the pair further downwards to 0.8935. The pivot point stands at 0.903. In case the price moves in the opposite direction, bounces back from support, and moves above its pivot point, then the price is most favorably expected to move further to the upside, In that scenario a long position is recommended with the first target at 0.906 and the second target at 0.9075.
Support levels:
0.8965
0.8935
0.8875
Resistance levels:
0.906
0.9075
0.91
The material has been provided by InstaForex Company – www.instaforex.com
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