Technical Analysis of USD/CHF for March 08, 2016
USD/CHF is expected to trade in line with a bearish outlook. The pair has struck against its major resistance at 1.0010, and is now turning downwards following yesterday's rallies. The 20-period moving average also reversed down and crossed below the 50-period one. Besides, the relative strength index is negatively oriented below its neutrality area of 50. In these perspectives, as long as 0.9960 holds on the upside, expect a limited consolidation before further moves to 0.9875 and 0.9850.
Trading Recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 0.9875. A break of this target will move the pair further downwards to 0.9850. The pivot point stands at 0.9960. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 0.9990 and the second target at 1.0010.
Resistance levels: 0.9990, 1.0010, 1.0030
Support levels: 0.9875, 0.9850, 0.98
The material has been provided by InstaForex Company - www.instaforex.com
