Fundamental overview:
USD/CHF is expected to consolidate with a bearish bias. It is supported by the consequence from weaker euro sentiment on the Swiss franc and ultra-loose Swiss National Bank's monetary policy. USD sentiment tempered by more-than-expected 291,000 U.S. jobless claims in week ended Nov. 15 (versus forecast 283,000), weaker-than-expected Markit flash U.S. November manufacturing PMI of 54.7, the lowest in 10 months (versus forecast 56.0). But USD/CHF upside is limited by the positions adjustment ahead of weekend.
Technical comments:
Daily chart is still negative-biased as MACD and stochastics are bearish, five-day moving average is below 15-day moving average and is declining.
Trading recommendations:
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. Short position is recommended with the first target at 0.9555. A break of this target will move the pair further downwards to 0.9555. The pivot point stands at 0.9605. In case the price moves in the opposite direction and bounces back from the support level, then it will move above its pivot point. It is likely to move further to the upside. In that scenario, a long position is recommended with the first target at 0.9625 and the second target at 0.9655.
Resistance levels:
0.9625
0.9655
0.9690
Support levels:
0.9555
0.9515
0.9785
The material has been provided by InstaForex Company - www.instaforex.com
