Technical Analysis of USD/CHF for April 13, 2016
USD/CHF is expected to trade in a higher range as bias remains bullish. The pair managed to break above the resistance of its 50-period moving average, and now the pair is holding above it. The relative strength index jumped above its neutrality area at 50, and it is lacking downward momentum. Even though a consolidation cannot be ruled out at the current stage, its extent should be limited by 0.9530 (a horizontal support). As long as this threshold is not broken, look for further advance to 0.9595 and 0.9620 in extension.
Trading Recommendations:
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.9595 and the second one, at 0.9620. In the alternative scenario, short positions are recommended with the first target at 0.95 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.9480. The pivot point is at 0.9530.
Resistance levels: 0.9595, 0.9620, 0.9650
Support levels: 0.9500, 0.9480 , 0.9450
The material has been provided by InstaForex Company - www.instaforex.com
