Overview:
- The USD/CHF pair showed signs of instability as it took place in a narrow sideways channel for a while. Amid the previous events, the price is still moving between the levels of 0.9887 and 1.0028. The daily resistance and support are seen at the levels of 1.0028 and 0.9887 respectively. In consequence, it is recommended to be wary while placing orders in this area. Thus, we should wait until the sideways channel has completed.
- First outlook: if the pair succeeds in passing through the level of 1.0028, the market will indicate a bullish opportunity above the level of 1.0028. A breakout of that target will move the pair further upwards to 1.1078. So, buy orders are recommended above the area of 1.0028 with the first target at the level of 1.1078; and continue towards 1.0125.
- Second outlook: if the USD/CHF pair fails to break out through the resistance level of 1.0028; the market will decline further to the level of 0.9887 (daily support 1). Moreover, the price will fall into a bearish trend in order to go further towards the strong support at 0.9800 to test it again. The level of 0.9800 will form a double bottom in the H1 time frame.
