USD/CHF is in a process of consolidation and then it is likely to slide. The pair has struck against its falling 50-period moving average, which should continue to push prices lower. The nearest major resistance at 1.0090 maintains the strong selling pressure. Even though a continuation of the consolidations cannot be ruled out at the current stage, its extension should be limited before further decline. As long as 1.0060 holds on the upside, look for a choppy price action with a bearish bias. Our next down target is set at 1.00 and 0.9955 in extension.
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 1.00. A break of that target will move the pair further downwards to 0.9955. The pivot point stands at 1.0090. 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 1.0140 and the second target at 1.0179.
Resistance levels: 1.0140, 1.0170, 1.0210
Support levels: 1.00, 0.9955, 0.99
The material has been provided by InstaForex Company – www.instaforex.com