USD/CHF was into a minor retreat, correction, ended by today's rally. Technically, the pair was expected to decline a little after the most recent upside movement. Obviously, we talk about only a temporary decline before USD/CHF resumes its uptrend, bullish reversal.
The pair is traded at 0.9312 level closing the last H4 bullish candle way above important near-term upside obstacles. USD takes the lead again versus its rivals as the USDX jumps higher after a temporary retreat.
The US Unemployment Claims dropped from 754K to 712K in the last week helping the greenback to appreciate again. The US is to release the PPI, Core PPI, and the Prelim UoM Consumer Sentiment later today. Positive data could lift the dollar.
USD/CHF More Gains Ahead!
USD/CHF has come back down after failing to stabilize above the fourth warning line (WL4). It registered a minor correction, finding support right on the Pivot Point (0.9229) level and right below the 23.6% level.
Its failure to stabilize under the 23.6% retracement level signals that the retreat has ended and that USD/CHF could resume its swing higher. The immediate upside target is seen at the WL4 and at the 0.9375 higher high.
Breaking and stabilizing above these levels could bring a new long opportunity if you are not long already.
USD/CHF Trading Tips!
The last H4 bullish candle signals that USD/CHF ended its correction and indicates further growth. Also, the aggressive rally is seen as a first bullish signal. We'll have a great buying opportunity if the pair jumps and closes above the WL4, 0.9375, and above the R1 (0.9389).
R2 (0.9477) and the R3 (0.9637) could be used as upside targets if the rate resumes its bullish reversal.
