USD/CHF Technical Analysis: Franc Gains May Be Ahead

DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

• USD/CHF Technical Strategy: Longat 0.9452

• Support: 0.9651, 0.9595, 0.9550

• Resistance:0.9685, 0.9745, 0.9784

The US Dollar may be forming a top against the Swiss Franc after prices put in a bearish Dark Cloud Cover candlestick pattern. A daily close below the 23.6% Fibonacci retracementat 0.9651 exposes the 38.2% level at 0.9595. Alternatively, a reversal above the 14.6% retracement at 0.9685 clears the way for a test of the 50% Fib expansion at 0.9745.

We entered long USDCHF at 0.9452 and subsequently booked profit on half of the position. The remainder of the trade is open to capture any further upside momentum with a stop-loss trailed to breakeven (0.9452).

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

USD/CHF Technical Analysis: Franc Gains May Be Ahead

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

original source

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.