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The USD/CHF pair registered strong growth in the last few days. Now, it was trading at 1.0014. As you can see on the h1 chart, the rate dropped within a down-channel pattern. It has found strong demand on 0.9845 and now it has escaped from the channel formation signaling that the downside movement ended.
The downtrend line represented an upside obstacle, passing above it announced strong buyers. The uptrend line stands as a downside obstacle. As long as it stays above it, the USD/CHF pair could resume its growth.
Jumping far above the downtrend line was seen as a new buying opportunity. The 0.9973 historical level represented an upside obstacle as well. The price moved sideways right below it trying to attract more buyers. A minor sideways movement above it and above the uptrend line could bring new buying opportunities with a first major target at the 1.0124 higher high.
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