USD/CHF is expected to trade with bearish bias as pair is under pressure. The pair broke below its previous low around 0.9740 and accelerated to the downside. The declining 20- and 50-period MAs are maintaining the downside bias. Furthermore, the intraday RSI is below its neutrality level at 50 lacking upward momentum. As long as 0.9740 holds as the key resistance, the pair is likely to continue consolidating with downside targets at 0.9640 and 0.96 in extension.
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 0.9640. A break of that target will move the pair further downwards to 0.96. The pivot point stands at 10.9740. 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 0.9765 and the second target at 0.9795.
Resistance levels: 0.9765 0.9795 0.9825
Support levels: 0.9640 0.96 0.9545
The material has been provided by InstaForex Company – www.instaforex.com