20.10.201611:37 Forex Analysis & Reviews: Technical analysis of USD/CHF for October 20, 2016

Overview:

• The USD/CHF pair has broken resistance at the level of 0.9874, which acts as support now. So, the pair has already formed minor support at 0.9874. The strong support is seen at the level of 0.9844 because it represents the weekly pivot. In the H1 time frame, the RSI and the moving average (100) are still pointing to the upside. Therefore, the market indicates a bullish opportunity at the level of 0.9874. Buy above the minor support of 0.9874 with a target at 0.9913 (this price is coinciding with the double top). If the pair succeeds in passing through the level of 0.9913, the market will indicate the bullish opportunity above the level of 0.9962 in order to reach the second target at 0.9937. However, the price spot of 0.9937 - 0.9960 remains a significant resistance zone. Thus, the trend will probably be rebounded again from the price of 0.9960 as long as it is not breached. On the other hand, if the pair closes below the minor support (0.9874), the price will fall into the bearish market in order to go further towards the strong support at 0.9874. According to the previous events, we expect the USD/CHF pair to trade between 0.9874 and 0.9960.