USD/CHF is expected to consolidate with risks skewed lower. It is undermined by the weaker dollar sentiment and franc demand on the soft EUR/CHF cross. But USD/CHF losses are tempered by the threat of the Swiss National Bank to carry out CHF-selling intervention, and the negative Swiss interest rates.
The daily chart is still positive-biased as the MACD is bullish, stochastics stays elevated near overbought levels.
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. As long as the price holds above its pivot point, long positions are recommended with the first target at 0.9570 and the second target at 0.96. In the alternative scenario, short positions are recommended with the first target at 0.9395 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.9365. The pivot point is at 0.9440.
Resistance levels: 0.9570 0.96 0.9650
Support levels: 0.9395 0.9365 0.9315
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