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Technical analysis of USD/CHF for August 05, 2016

USDCHFM30.png

USD/CHF is expected to trade with a bullish bias. The pair is trading above its 20-period and 50-period moving averages, which are playing support roles. The relative strength index is above its neutrality level at 50. on Thursday, U.S. stock indexes ended broadly flat as investors were waiting for the July U.S. jobs report due Friday, which is expected to provide clues on when the Federal Reserve will raise interest rates again. Additionally, 0.9695 (August 1 top) is playing a key support role, which should limit the downside potential. As long as this key level holds on the downside, look for further upside toward 0.9765. A break above this level would call for further advance toward 0.9825. Below 0.9695, look for further downside with 0.9670 and 0.9630 as targets.

Resistance levels: 0.9765, 0.9825, 0.9875

Support levels: 0.9670, 0.9630, 0.9590

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