USD/CHF: upside

Overview:
The USD/CHF is to consolidate with bullish bias after hitting one-month high of 0.9499 Thursday. It is underpinned by positive USD sentiment. But the USD/CHF gains tempered by franc demand on buoyant the CHF/JPY as strong the USD/JPY supports the cross; positions adjustment before weekend. Daily chart positive-biased as bullish outside-day-range pattern completed Thursday; MACD & stochastics bullish; five- & 15-day moving averages advancing. 

Trading recommendations: 
The pair is trading above its pivot point. It is likely to trade in higher range as far as it remains above its pivot point. As far as the price is above its pivot point, trading in higher range is most favorable and buy position is recommended above its pivot with the first target at 0.9585 and the second target at 0.9608. You should keep in view short position below the pivot keep of the first target at 0.941, breach of this target will move the pair downward further and expect the second target at 0.9375. The pivot point stands at 0.947.

Resistance levels: 
R1 – 0.9585(six-month high hit March 14) 
R2 – 0.9608 (Sept. 5, 2012 high) 
R3 – 0.963

Support Levels:
S1 – 0.941
S2 – 0.9375
S3 – 0.934 

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