Overview:
USD/CHF is expected to consolidate with bearish bias after hitting nine-month high at 0.9181 on Tuesday. It is supported by the bullish dollar sentiment and dovish Swiss National Bank's monetary policy and contagion from weak EUR on CHF. The daily chart is positive-biased as MACD and stochastics are bullish, although the latter is at overbought zone, five and 15-day moving averages are advancing.
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 long as the price is keeping above its pivot point, a long position is recommended with the first target at 0.9110 and the second target at 0.9070. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.92. A break of this target would push the pair further downwards and one may expect the second target at 0.9220. The pivot point is at 0.9164.
Resistance levels:
0.92
0.9220
0.9245
Support levels:
0.9110
0.9070
0.9050
The material has been provided by InstaForex Company - www.instaforex.com
