Overview:
- The USD/CHF pair did not make a significant movement yesterday. There are no changes in my technical outlook. The bias remains bearish in nearest term testing 0.9685 or lower. The USD/CHF pair broke support at the level of 0.9773, which acts as a resistance now. According to the previous events, the USD/CHF pair is still moving between the levels of 0.9773 and 0.9724. The trend is still below the 100 EMA for that the bearish outlook remains the same as long as the 100 EMA is headed to the downside. Hence, the price spot of 0.9773 remains a significant resistance zone. Consequently, there is a possibility that the USD/CHF pair will move downside. The structure of a fall does not look corrective. In order to indicate a bearish opportunity below 0.9773, sell below 0.9773 with the first target at 0.9685. Besides, the weekly support 2 is seen at the level of 0.9685. However, traders should watch for any sign of a bullish rejection that occurs around 0.9773. The level of 0.9773 coincides with 23.6% of Fibonacci, which is expected to act as a major resistance today. Since the trend is below the 23.6% Fibonacci level, the market is still in a downtrend. Overall, we still prefer the bearish scenario in coming hours.
