USD/CHF Technical Analysis: 0.93 Figure Still Capping Upside
To receive Ilya's analysis directly via email, please SIGN UP HERE
- USD/CHF Technical Strategy: Flat
- Support: 0.9040, 0.8836, 0.8580
- Resistance: 0.9269, 0.9498, 0.9781
The US Dollar paused to consolidate below the 0.93 figure after erasing half of its violent SNB-inspired drop against the Swiss Franc. Near-term resistance is at 0.9269, the 50% Fibonacci retracement, with a break above that on a daily closing basis exposing the 61.8% level at 0.9498. Alternatively, a push below the 38.2% Fib at 0.9040 clears the way for a challenge of resistance-turned-support at 0.8836, the January 20 high.
Prices are too close to resistance to justify entering long from a risk/reward perspective. On the other hand, the absence of a defined bearish reversal signal suggests that taking up the short side is premature. With that in mind, we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.