USD/CHF is expected to post more gains. The pair stands above 0.9695 and remains on the upside. The rising 20-period moving average is playing a support role and maintains a positive bias. Meanwhile, the relative strength index stays above 50 and is positively oriented. Further upside is therefore expected with the next horizontal resistance and overlap set at 0.9820. A break above this level would call for further advance towards 0.9845 in extension.
Trading Recommendations:
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.9820 and the second one, at 0.9845. In the alternative scenario, short positions are recommended with the first target at 0.9645 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.9620. The pivot point is at 0.9695.
Resistance levels: 0.9820, 0.9845, 0.9890
Support levels: 0.9645, 0.9620, 0.9575
The material has been provided by InstaForex Company - www.instaforex.com