USD/CHF is expected to extend its upside movement. The pair stands above its nearest support at 0.9720 and is expected to post a new rise. Meanwhile, both the rising 20-period and 50-period moving averages are playing support roles. Besides, the relative strength index is bullish above its neutrality area at 50 and lacks downward momentum. Hence, as long as 0.9720 is not broken, further upside is expected with the next horizontal resistance at 0.9840 and 0.9900 in extension.
Trading recommendation:
USD/CHF is expected to trade with bullish bias above 0.9760. The pair remains on the upside. A support base at 0.9760 has formed and has allowed for a temporary stabilization. Even though a continuation of consolidation cannot be ruled out at the current stage, its extent should be very limited before a new bounce. Hence, as long as 0.9760 is not broken, further upside is expected with the next horizontal resistance at 0.9840 and 0.9900 in extension.
Resistance levels: 0.9840, 0.9900, 0.9945
Support levels: 0.9720, 0.9660, 0.9585
The material has been provided by InstaForex Company - www.instaforex.com