Fundamental overview:
USD/CHF is expected to consolidate after hitting three-week high 0.9613 on Thursday. CHF sentiment is boosted by the stronger-than-expected Switzerland October KOF economic barometer of 99.8 (versus forecast 98.2). USD/CHF is also weighed by the franc demand on buoyant CHF/JPY cross. But USD/CHF downside is limited by the positive USD sentiment, dovish Swiss National Bank's monetary policy and positions adjustment before the weekend.
Technical comments:
Daily chart is mixed as MACD is bearish but stochastics is in a bullish mode.
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 0.9650 and the second target at 0.9680. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.9515. A break of this target would push the pair further downwards and one may expect the second target at 0.9480. The pivot point is at 0.9565.
Resistance levels:
0.9650
0.9680
0.9710
Support levels:
0.9515
0.9480
0.9450
The material has been provided by InstaForex Company - www.instaforex.com
