18.03.201515:11 Forex Analysis & Reviews: Technical analysis of USD/CHF for March 18, 2015

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Fundamental overview:
USD/CHF is expected to consolidate as markets await the US FOMC interest rate decision. USD/CHF is supported by the negative Swiss interest rates and the threat of the Swiss National Bank to carry out CHF-selling intervention. The USD/CHF upside is limited by the caution before the FOMC decision.

Technical comment:
The daily chart is still positive-biased as the MACD is bullish, stochastics stays elevated at overbought levels, five- and 15-day moving averages are advancing.

Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below the pivot point. Short positions are recommended with the first target at 0.999. A break of that target will move the pair further downwards to 0.9950. The pivot point stands at 1.0090. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, a long position is recommended with the first target at 1.0120 and the second target at 1.0170.

Resistance levels:
1.0120
1.0160
1.02

Support levels:
0.9990
0.9950
0.9875

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.