Technical Analysis of USD/CHF for April 08, 2016
USD/CHF is expected to trade in a lower range as the pair is under pressure. The pair remains on the downside after swinging off yesterday's low of 0.9520, showing a pattern of lower highs. Currently it is trading below the 20-period moving average, which stands below the 50-period one. Meanwhile, the relative strength index is now below the neutrality level of 50 lacking upward momentum. As long as the pair fails to re-take the key resistance at 0.9565, it should return to the first downside target at 0.9525.
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 0.9525. A break of this target will move the pair further downwards to 0.9500. The pivot point stands at 0.9595. 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 0.9620 and the second target at 0.9650.
Resistance levels: 0.9620, 0.9650, 0.9675
Support levels: 0.9525 , 0.9500, 0.9465
The material has been provided by InstaForex Company - www.instaforex.com
