Overview:
USD/CHF is expected to trade in a lower range after hitting a three-day high at 0.9104 on Tuesday. It is supported by the broadly firmer dollar undertone, dovish Swiss National Bank's monetary policy, and franc sales on soft CHF/JPY cross. But USD/CHF gains are tempered by the franc demand on soft EUR/CHF cross.The daily chart is mixed as MACD and stochastics is in a bearish mode, but five-day moving average is fkluctuating sideways above advancing 15-day MA.
Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. Short position is recommended with the first target at 0.9030. A break of this target will move the pair further downwards to 0.9. The pivot point stands at 0.9090. In case the price moves in the opposite direction and bounces back from the support level, then it will moves above its pivot point. It is likely to move further to the upside. In that scenario, a long position is recommended with the first target at 0.9115 and the second target at 0.9135.
Resistance levels:
0.9115
0.9135
0.9155
Support levels:
0.9030
0.900
0.8975
