Overview: USD/CHF is consolidating with bearish bias after hitting a seven-month low of 0.9105 Wednesday. SNB is widely expected to keep its floor for the euro at 1.20 francs and hold interest rates near zero. Swiss franc sentiment boosted after ZEW-Credit Suisse indicator of economic sentiment for Switzerland jumped to 16.3 in September, the highest level since April, from 7.2 in August. USD/CHF was also weighed by negative dollar sentiment. Other data: 0600 GMT Switzerland August trade balance. Daily chart negative-biased as MACD & stochastics bearish; five-day moving average below 15-day MA and declining.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, trading in a higher range is the most favorable and a buy position is recommended above its pivot, with the first target at 0.907 and the second target at 0.902. You should keep in view short positions below the pivot. Keep the first target at 0.92. The breach of this target will move the pair downward further and one may expect the second target at 0.9235. The pivot point stands at 0.917.
Support levels: 0.907 0.902 0.9
Resistance levels: 0.92 0.9235 0.927
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
USD/CHF is consolidating with bearish bias after hitting a seven-month low of 0.9105 Wednesday. SNB is widely expected to keep its floor for the euro at 1.20 francs and hold interest rates near zero. Swiss franc sentiment boosted after ZEW-Credit Suisse indicator of economic sentiment for Switzerland jumped to 16.3 in September, the highest level since April, from 7.2 in August. USD/CHF was also weighed by negative dollar sentiment. Other data: 0600 GMT Switzerland August trade balance. Daily chart negative-biased as MACD & stochastics bearish; five-day moving average below 15-day MA and declining.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, trading in a higher range is the most favorable and a buy position is recommended above its pivot, with the first target at 0.907 and the second target at 0.902. You should keep in view short positions below the pivot. Keep the first target at 0.92. The breach of this target will move the pair downward further and one may expect the second target at 0.9235. The pivot point stands at 0.917.
Support levels:
0.907
0.902
0.9
Resistance levels:
0.92
0.9235
0.927
The material has been provided by InstaForex Company – www.instaforex.com
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