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Technical analysis of USD/CHF for April 12, 2016

USDCHFM30.png

USD/CHF is expected to trade in a lower range as the key resistance is at 0.9580. The pair remains under pressure below its nearest resistance at 0.9580, which is expected to limit any upside potential. The relative strength index is mixed to bearish, calling for caution. Even though a technical rebound cannot be ruled out, its extent should be limited. As long as 0.9580 is not surpassed, further decline seems to be on the cards to 0.9500 and 0.9480 in extension.

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 0.9500. A break of this target will move the pair further downwards to 0.9480. The pivot point stands at 0.9580. 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 0.9620 and the second target at 0.9650.

Resistance levels: 0.9620, 0.9650, 0.9675

Support levels: 0.9500, 0.9480 , 0.9450

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