USD/CHF is expected to trade in a lower range as key resistance is at 0.9625. After the failure to break above the nearest resistance at 0.9625, the pair is now under pressure, and is expected to challenge its next support level at 0.9555. The sequence of lower highs and lows remains intact, which should confirm a negative outlook. In addition, the relative strength index lacks upward momentum, calling for caution. In these perspectives, as long as 0.9625 is resistance, look for choppy price action with a bearish bias. Our next down targets are set at 0.9555 and 0.9525 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 0.9555. A break of this target will move the pair further downwards to 0.9525. The pivot point stands at 0.9625. 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 0.9650 and the second target at 0.9675.
Resistance levels: 0.9650, 0.9675, 0.9715
Support levels: 0.9555, 0.9525 , 0.9465
The material has been provided by InstaForex Company – www.instaforex.com
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