USD/CHF Technical Analysis: Franc Drops to 2-Month Low

By DailyFx | July 22, 2014 AAA

DailyFX.com -

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

Talking Points:

  • USD/CHF Technical Strategy: Flat
  • Support: 0.8983, 0.8934, 0.8904
  • Resistance: 0.9022-36, 0.9061, 0.9110

The US Dollar resumed its advance against the Swiss Franc after a brief period of consolidation, soaring to the highest level in nearly two months. Buyers are testing resistance in the 0.9022-36 area, marked by the 50% Fibonacci expansion and the June 5 high. A daily close above that exposes the 61.8% level at 0.9061. Alternatively, a reversal below the 38.2% Fib at 0.8983 clears the way for a challenge of the 23.6% expansion at 0.8934.

Risk/reward considerations argue against entering long with prices trading in close proximity to resistance. On the other hand, the absence of a defined bearish reversal signal suggests taking up the short side is premature. We will remain flat for now.

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

USD/CHF Technical Analysis: Franc Drops to 2-Month Low

Daily Chart - Created Using FXCM Marketscope 2.0

comments powered by Disqus
Related Forex Analysis
  1. USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation
    Forex News

    USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation

  2. USD/JPY is dancing around 107.00
    Forex News

    USD/JPY is dancing around 107.00

  3. USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision
    Forex News

    USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision

  4. NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades
    Forex News

    NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades

  5. EUR/USD sidelined above 1.2700
    Forex News

    EUR/USD sidelined above 1.2700

Trading Center