Overview:
USD/CHF is consolidating with bullish bias after hitting a two-week high of 0.9131 Thursday. It is supported by positive dollar sentiment, reduced safe-haven appeal of the franc amid positive investor risk appetite, the franc sales in the buoyant EUR/CHF cross. But USD/CHF gains are tempered by CHF demand in the buoyant CHF/JPY cross, positions adjustment before U.S. long weekend. Daily chart is positive-biased as MACD and stochastics are bullish; the five-day moving average staging bullish crossover against 15-day MA. Trading recommendation:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. A short position is recommended with the first target at 0.9065 in view; a breach of this target will move the pair further downwards to 0.905. The pivot point stands at 0.9090. In case the price moves in the opposite direction, bounces back from support, and moves above its pivot point, then the price is most favorably expected to move further to the upside, In that scenario a long position is recommended with the first target at 0.9135 and the second target at 0.9155.
Resistance levels: 0.9135
0.9155
0.918
Support levels: 0.9065
0.905
0.9
