FX.co ★ USD/CHF: Under pressure

Overview:
USD/CHF is trading in lower range after retreating sharply from four-day high of 0.9790 on Wednesday. The rate is undermined by month-end positions adjustment; franc demand on retreating EUR/CHF cross. Daily chart is negative-biased as bearish outside-day-range pattern was completed on Wednesday; stochastics falling from overbought; MACD staging bearish crossover against its exponential moving average.

Trading recommendations:

The pair is trading below its pivot point. The pair is likely to trade in lower range as far as it remains below its pivot point. Short position is recommended with the first target at 0.9545 in view, breach of this target will move further the pair downward and you should expect the second target at 0.951. Pivot point stands at 0.966. In case the price moves in opposite direction and returns from its support and moves above its pivot point, then trading in higher range is the most favorable and buy position is recommended above its pivot with the first target at 0.9705 and the second target at 0.9735.

Support levels:
S1 - 0.9545
S2 - 0.951
S3 - 0.9475

Resistance levels:
R1 - 0.9705
R2 - 0.9735
R3 - 0.978