USD/CHF: technical analysis for September 10, 2013

Overview:

USD/CHF: 

The price is set below strong resistance at the level of 0.9403 (0.94: 61.8% of Fibonacci retracement levels in H1 chart). It should be noted that the price has still been trapped between 0.9360 and 0.9390. Moreover, it is worth noting that these levels are coinciding between 23.6% and 38.2% of Fibonacci retracement levels in H1 chart and the pair has already formed strong resistance at this level of 0.9400 and now it is approaching it in order to test it in case the price do not break the weekly resistance 1 at the level of 0.9450. Therefore, the Swissy’s downside momentum is rather convincing and the structure of the fall does not look corrective. In order to indicate bearish opportunity below 0.9450, it will be a good sign to sell below 0.9450 with the first target of 0.9380 and it will call for downtrend in order to continue bearish movement towards 0.9355. Furthermore, it should be noted that the price will possibly form strong support at 0.9311 (it should be also be noted that the level of 0.9306 is the weekly support 1 for September 9 – 13, 2013, thus, the area below this level will be a good place to set stop loss). So it will be saturation around 1.9300 to rebound. Probably, the market is going to start showing signs of the bullish market. In other words, it will be a good sign to buy above 0.9300 with the first target at 0.9350 and continue towards 0.9380 in order to test the weekly pivot point.