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Technical analysis of USD/CHF for October 11, 2016

USDCHFM30.png

USD/CHF is expected to trade in a higher range as the bias remains bullish. The pair is trading above its rising 50-period moving average, which now acts as strong support. At the same time, a support base at 0.9790 has formed, and the downside room should be limited by this level. Additionally, the relative strength index is above its neutrality area at 50. Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.

The U.S. dollar remained firm while being buoyed by expectations of the Federal Reserve probably raising interest rates in December. Wednesday's release of the Federal Reserve Open Market Committee's latest meeting minutes should be closely watched by investors.

Hence, as long as 0.9790 is not broken, expect a new rise to 0.9865, if breakout, look for 0.9885.

Resistance levels: 0.9865, 0.9885, 0.9935

Support levels: 0.9765, 0.9745, 0.9700

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