USD/CHF is expected to trade with bearish bias. The key resistance at 0.9800. The pair remains under pressure below the key resistance at 0.9800. On an intraday basis, the pair is moving sideways within the range between 0.9800 and the first downside target at 0.9715. Nevertheless, the intraday RSI indicator favors a new drop. Hence, as long as 0.9800 is not surpassed, the risk of breaking below 0.9720 remains high. The second downside target is set at 0.9660 (August 12's low).
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