USD/CHF is expected to trade in a lower range as key resistance is at 0.9600. From a technical view, the pair remains weak, and is also capped by its falling 20-period and 50-period moving averages. The key horizontal resistance at 0.9600 maintains strong selling pressure on the prices. Besides, the relative strength index is mixed to bearish below its neutrality area at 50. In these perspectives, as long as the resistance at 0.9600 is not surpassed, the risk of a break below 0.9525 remains high. Our next down target is set at 0.9500.
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 0.9525. A break of this target will move the pair further downwards to 0.9500. The pivot point stands at 0.9600. 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 0.9625 and the second target at 0.9650.
Resistance levels: 0.9625, 0.9650, 0.9675
Support levels: 0.9525 , 0.9500, 0.9465
The material has been provided by InstaForex Company - www.instaforex.com