FX.co ★ USD/CHF Price Action Encourages Reversal!

USD/CHF is trapped within a minor down channel, an upside breakout brings more buyers and further gains. It has failed once again to reach and retest the 0.9056 static support and now is trading back above PP (0.9093) level.

I've drawn a minor ascending pitchfork hoping that I'll catch another leg higher. USD/CHF will reverse if closes above the R1 (0.9178) level. Additionally, a new higher high suggests buying.

USD/CHF has been trapped in a narrow range, a valid breakout though the immediate downtrend line could indicate an up reversal. The lower median line of the ascending pitchfork and 0.9056 are seen as support levels.

The pair could easily move in any direction from here, the bearish pressure is high if the price stays under the minor downtrend line. A breakdown and stabilization below 0.9056 invalidates the up reversal and announces a deeper drop.

• USD/CHF Trading Tips

Buy USD/CHF above the R1 (0.9178) level. R2 (0.9245), and the R3 (0.9329) could be used as upside targets.

Sell from below the S1 (0.9025) with a first target at the S2 (0.8941) level.