Overview:
- The USD/CHF pair broke the resistance which turned into strong support at the level of 0.9771 yesterday. The level of 0.9771 coincides with the ratio of 50% Fibonacci. It is expected to act as a major support on the daily chart today. Consequently, The daily strong support is seen at 0.9771 and 0.9846. Moreover, the RSI starts signaling an upward trend, and the trend is still showing strength above the moving average (100). Hence, the market is indicating a bullish opportunity above the area of 0.9846. So, the market is likely to show signs of a bullish trend around 0.9771 and 0.9846. In other words, buy orders are recommended above the ratio of 50% Fibonacci (0.9771) or 0.9846 with the first target at the level of 0.9952 in order to test a double top in the same time frame. If the pair succeeds to pass through the level of 0.9952, the market will probably continue towards the next objective at 1.0018.
- However, it should be notcied that the support is seen at 0.9771. Thus, if a breakout happens at the support level of 0.9771, then this scenario may be invalidated.
