Forecast:
Strong level (Resistance) will be formed at 0.9400 providing a clear signal for sell deals with the target seen at 0.9325 level. Stop loss is to be placed above 0.9445.
Strong level (Support) will be formed at 0.9255 providing a clear signal for buy deals with the target seen at 0.9390 level. Stop loss is to be placed below 0.9203.
Range: 142 pips (Weekly).
Overview:
USD/CHF: It is necessary to consider that the price is still located between points of 0.9322 and 0.9355, i.e. above the strong resistance level of 0.9400. The pair has already formed a strong resistance at this level of 0.94000 and is presently approaching to the further testing. Therefore, the Swissie is expected to go downwards following the structure which does not look corrective and it is indicating the bearish opportunity below 0.9403 level. Sell deals are recommended below 0.9403 with the first target seen at 0.9370 level. Thus, the downtrend is likely to continue the bearish movement towards 0.9325 level. Moreover, it is crucial that the price has probably formed a strong support at 0.9275. The saturation is likely to take place around 0.9255 (0.9263: the weekly support 1). Therefore, it is possible that the market will start showing the signs of a bullish behavior. In other words, buy deals are recommended above 0.9255 with the first target seen at 0.9315 level and if the weekly pivot point (0.9322) is broken successfully, then the pair will go further at 0.9400 level (R1: 0.9405). It should be noted that the resistance becomes a support after it is broken.
Weekly Pivot Points:
R3: 0.9547
R2: 0.9464
R1: 0.9405
PP: 0.9322
S1: 0.9263
S2: 0.9180
S3: 0.9121
If you have any questions or requests, please feel free to contact me: mourad.elkeddani@analytics.instaforex.com.
