USD/CHF is expected to trade with bearish bias below 0.9755. The pair recently broke below its key horizontal level at 0.9726, which triggered a bearish reversal on an intraday basis. The previous support now acts as a key resistance, which should hold on the upside. Furthermore, the RSI is below 50, and also lacks upward momentum. To sum up, the intraday outlook remains negative as long as 0.9755 is not surpassed. Our next down targets are set at 0.9665 and 0.9640 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 0.9665. A breakout of that target will move the pair further downwards to 0.9640. The pivot point stands at 0.9755. 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 0.9775 and the second target at 0.9810.
Resistance levels: 0.9775 0.9810 0.9895
Support levels: 0.9665 0.9640 0.9615
The material has been provided by InstaForex Company – www.instaforex.com