USD/CHF is expected to trade in a lower range. The intraday technical outlook has changed a little. Even though the pair recently posted a technical rebound, the intraday outlook is still negative. A bearish cross has been identified between the 20- and 50-period MAs, and the intraday RSI is heading downwards. Hence, as long as 0.9800 holds as the key resistance, the pair stands a higher chance of returning to the first downside target at 0.9715 and to the second one at 0.9660 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 0.9715. A break of that target will move the pair further downwards to 0.9660. The pivot point stands at 0.98. 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 0.9860 and the second target at 0.9940.
Resistance levels: 0.9860 0.9940 0.9995
Support levels: 0.9715 0.9660 0.9635
The material has been provided by InstaForex Company – www.instaforex.com