To receive Ilya's analysis directly via email, please SIGN UP HERE
Talking Points:
- USD/CHF Technical Strategy: Pending Long
- Support:0.8869, 0.8830, 0.8781
- Resistance: 0.8908, 0.8957, 0.9000
The US Dollar has managed to find interim support after dropping as expected to tap a six-week lowagainst the Swiss Franc. All eyes are now on 0.8869, a support level marked by the 50% Fibonacci retracement and reinforced by a formerly broken falling trend line set from November 2013. A daily close below that exposes the 61.8% level at 0.8830. Alternatively, a turn back above the 38.2% Fib at 0.8908 targets the 23.6% retracement at 0.8957.
Losses since the beginning of June have looked corrective in the context of the break above trend line resistance. With that in mind, we will opt to wait for the current pullback to yield a buying opportunity rather than take up a short position.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
