Overview:
- As expected the USD/CHF pair continues to move downwards from the level of 0.9857. Yesterday, the pair dropped from the level of 0.9857 (this level of 0.9857 coincides with the ratio of 78.6% Fibonacci retracement levels in the H4 time frame) to the bottom around the spot of 0.9770. Today, the first resistance level is seen at 0.9800 followed by 0.9857, while daily support 1 is seen at 0.9735. As the price is still below the moving average (100), immediate support is seen at 0.9735, which coincides with a golden ratio (50% of Fibonacci). Consequently, the first support is set at the level of 0.9735. So, the market is likely to show signs of a bearish trend below the area of 0.9735. In other words, buy orders are recommended below the level of 0.9735 with the first target at the level of 0.9622. It will also call for a downtrend in order to continue towards 0.9521. The daily strong support is seen at 0.9521. Also, it should be noted that volatility is very high for that the USD/CHF pair is still moving between 0.9857 and 0.9735 - 0.9622 in coming hours. Furthermore, the price has been set below the strong resistance at the level of 0.9857. However, the stop loss should always be taken into account, for that it will be reasonable to set your stop loss at the level of 0.9905.
