Overview:
USD/CHF is consolidating with bearish bias after hitting two-week low of 0.9522 this morning. the rate is undermined by negative dollar sentiment; franc demand on soft EUR/CHF cross. But USD/CHF losses tempered by positions adjustment before weekend. Daily chart is negative-biased as MACD and stochastics are bearish; five-day moving average has staged bearish crossover against 15-day MA; bearish parabolic stop-and-reverse signal was hit at 0.9599 on Thursday.
Trading recommendations:
The pair is trading below its pivot point. The pair is likely to trade in lower range as far as it remains below its pivot point. Short position is recommended with the first target at 0.951 in view, breach of this target will move further the pair downward and you should expect the second target at 0.9465. Pivot point stands at 0.96. In case the price moves in opposite direction and returns from its support and moves above its pivot point, then trading in higher range is the most favorable and buy position is recommended above its pivot with the first target at 0.966 and the second target at 0.9705.
Resistance levels:
R1 - 0.966
R2 - 0.9705
R3 - 0.9745
Support levels:
S1 - 0.951
S2 - 0.9465
S3 - 0.942
