USD/CHF rallies and it seems determined to hit fresh new highs in the upcoming hours. The USD has taken full control and it continues to appreciate as the US Dollar Index resumes its upside momentum.
Yesterday's better than expected US manufacturing and services data have boosted the greenback, confirming its domination. Technically, USD/CHF was somehow expected to increase after the breakout above the major downtrend line.
The pair confirmed a further growth after closing and stabilizing above 0.9197 static resistance. The resistance has turned into support after the retest. Today, it has managed to jump far above the R3 (0.9238) level confirming once again its bullish outlook.
Also, the Double Bottom pattern was activated from above 0.9197 level, so the 38.2% retracement level and the 0.9376 could be used as upside targets.
- USD/CHF Trading Tips
The current breakout above the R1 (0.9197) level suggests buying and confirms a broader upside movement. The 38.2% retracement level, 0.9344, could be used as a first upside target.
In addition, we have another long opportunity after a temporary retreat. USD/CHF will definitely decrease a little after the current rally.
