USD/CHF is expected to trade in a lower range as key resistance is set at 0.9745. The pair remains weak below 0.9745, which acts as strong resistance. The relative strength index is above its neutrality area at 50, but lacks upward momentum. As long as the resistance at 0.9745 is not surpassed, the risk of the break below 0.9650 remains high. Our next down target is set at 0.9610.
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 0.9650. A break of this target will move the pair further downwards to 0.9610. The pivot point stands at 0.9745. 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 0.9790 and the second target at 0.9845.
Resistance levels: 0.9790, 0.9845, 0.9925
Support levels: 0.9650, 0.9610, 0.9525
The material has been provided by InstaForex Company - www.instaforex.com