USD/CHF is expected to trade with a bullish bias above 0.9700. Despite breaking below the 20-period and 50-period moving averages, the pair is still trading above the key support at 0.9700, which should allow for a temporary stabilization. Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.
Therefore, as long as 0.9700 holds on the downside, look for a rebound to 0.9770 and even to 0.9805 in extension.
Graph Explanation: The black line shows the pivot point, present price above pivot point indicates the bullish position and below pivot points indicates the short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.
Strategy: BUY at dips, Stop Loss: 0.9700, Take Profit: 0.9770
Resistance levels: 0.9770, 0.9805, and 0.9875
Support levels: 0.9680, 0.9655, and 0.9610
The material has been provided by InstaForex Company - www.instaforex.com