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- USD/CHF Technical Strategy: Flat
- Support: 0.8802 (23.6% Fib exp.), 0.8742 (Apr 11 low)
- Resistance: 0.8839 (38.2% Fib exp.), 0.8869 (61.8% Fib exp.)
The US Dollar advanced for a fourth consecutive day against the Swiss Franc after prices found support above the 0.87 figure. Near-term resistance is at 0.8839, the 38.2% Fibonacci expansion, with a break above that targeting 50% level at 0.8869. Alternatively, a turn back below the 23.6% Fib at 0.8802 exposes the April 11 lowat 0.8742.
Prices are trading too close to relevant resistance to make a long trade attractive from a risk/reward perspective. On the other hand, the absence of a bearish reversal signal argues against taking up the short side. We will continue to stand aside for now, waiting for an actionable opportunity to present itself.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com