- The intraday pullback finds decent support ahead of 0.9900 handle.
- Move beyond 0.9935 will set the stage for additional near-term gains.
| The USD/CHF pair did witness some intraday pullback but showed some resilience below 38.2% Fibonacci level of the 1.0028-0.9837 recent downfall. The pair managed to find decent support near 200-hour SMA and has now moved back closer to over one-week tops set earlier this Friday.
Meanwhile, technical indicators on the 4-hourly chart maintained their bullish bias and have again started gaining positive traction on the 1-hourly chart. This coupled with the fact that oscillators on the daily chart have just moved in the positive territory support prospects for additional gains. However, traders are likely to wait for a sustained move beyond 50% Fibo.level – around the 0.9935 region – before positioning for any further near-term appreciating move back towards challenging the very important 200-day SMA, currently near the 0.9955 region. The latter coincides with 61.8% Fibo. level and should act as a key pivotal point for bullish traders, above which the pair seems all set to aim towards reclaiming the parity mark before eventually darting towards the 1.0025-30 supply zone – October monthly swing highs. On the flip side, the 0.9910-0.9900 region might continue to act as immediate support, which if broken might negate the bullish outlook and set the stage for a slide back towards testing 1-1/2 month lows – around the 0.9840 region set earlier this week. |
USD/CHF 1-hourly chart(see more posts on USD/CHF, )-637076048529841650.png) - Click to enlarge |
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