USD/CHF is expected to trade in a lower range as the key resistance is seen at 1.0090. The pair remains under pressure below its nearest resistance of 1.0090, and is likely to post a new decline. Even though a continuation of the consolidation cannot be ruled out at the current stage, its extent should be limited. The relative strength index is mixed, but lacks upward momentum. The pair may re-test its nearest support level at 1.00. The risk of a slide below this threshold remains high. Our next downward target is seen at 0.9955.
Trading reccomendations:
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 1.00. A break of that target will move the pair further downwards to 0.9955. The pivot point stands at 1.0090. 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 1.0140 and the second target at 1.0179.
Resistance levels: 1.0140, 1.0170, 1.0210
Support levels: 1.00, 0.9955, 0.99
The material has been provided by InstaForex Company - www.instaforex.com