USD/CHF is under pressure. Currently trading at 1.0230, the pair remains under pressure after yesterday's downside breakout of 1.0255. The previous key support now plays a resistance role and should limit any potential rebounds. Last but not least, the relative strength index is negative now below its neutrality area at 50. In conclusion, as long as the 1.0255 mark holds on the upside, look for further decline to 1.0170 and 1.0140 in extension.
Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 1.0170. A break of that target will move the pair further downwards to 1.0140. The pivot point stands at 1.0255. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 1.03 and the second target at 1.0330.
Resistance levels: 1.03 1.0330 1.0370
Support levels: 1.0170 1.0140 1.01
