Technical analysis for USD/CHF for October 31, 2018

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Technical outlook:

The daily chart view has been presented here to provide a larger picture of the waves. USD/CHF is seen to be trading at 1.0052, at this moment of writing, just shy by a few pips from the previous swing highs at 1.0068 levels. If prices fail to break above its previous swing resistance, the USD/CHF pair is expected to drop sharply lower and target below 0.9550 in the coming weeks. On the flip side, a consistent break above 1.0068 could trigger a further higher high before finding resistance, though the scenario seems to be more probable for a bearish reversal, looking at how USD is placed against major currencies at this time. Also the risk/reward ratio seems to be excellent on the short side.

Trading plan:

Aggressively short, stop above 1.0085 target remains open.

Good luck!

The material has been provided by InstaForex Company - www.instaforex.com