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Technical analysis of USD/CHF for January 28, 2016

USDCHFM30.png

USD/CHF is expected to consolidate. The pair remains under pressure below the resistance level of 1.0185. It is likely to consolidate. The relative strength index is mixed to bearish below its neutrality area of 50. Furthermore, the key moving averages are turning down as well. Hence, below 1.0185 (a key horizontal resistance), expect a return to 1.0085 and 1.0050.

Trading recommendations:

The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 1.0215. A break of that target will move the pair further downwards to 1.0250. The pivot point stands at 1.0185. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 1.0085 and the second target at 1.0050.

Resistance levels: 1.0215, 1.0250, 1.0295

Support levels: 1.0085, 1.0050,1.0030

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