USD/CHF is expected to trade with a bearish outlook below 0.9955. Although the pair broke above its 20-period and 50-period moving averages, it is still trading below its key resistance at 0.9935, which should limit the upside momentum. The relative strength index lacks upward momentum.
To conclude, as long as 0.9955 is not surpassed, another drop to 0.9895 and even to 0.9880 seems more likely to occur.
Chart Explanation: The black line shows the pivot point. The present price above the pivot point indicates a bullish position, and the price below the pivot points indicates a short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.
Strategy: SELL, Stop Loss: 0.9955, Take Profit: 0.9895
Resistance levels: 0.9975, 1.0000, and 1.0050
Support levels: 0.9895, 0.9880, and 0.9850
