Overview:
USD/CHF is expected to consolidate with a bullish bias after hitting a nine-month high at 0.9179 this morning. It is underpinned by the positive dollar sentiment and dovish Swiss National Bank's monetary policy. But USD/CHF gains are tempered by the flows to haven CHF on renewed Russia-Ukraine geopolitical tensions. The daily chart is positive-biased as MACD and stochastics is bullish, although the latter is in the overbought zone, five and 15-day moving averages are advancing.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As long as the price is keeping above its pivot point, a long position is recommended with the first target at 0.9180 and the second target at 0.92. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.9110. A break of this target would push the pair further downwards and one may expect the second target at 0.9070. The pivot point is at 0.9125.
Resistance levels:
0.9180
0.92
0.9225
Support levels:
0.9110
0.9070
0.9050
The material has been provided by InstaForex Company - www.instaforex.com
