To receive Ilya’s analysis directly via email, please SIGN UP HERE
Talking Points:
- USD/CHF Technical Strategy: Flat
- Support: 0.8839 (38.2% Fib exp.), 0.8802 (23.6% Fib exp.)
- Resistance: 0.8869 (50% Fib exp.), 0.8899 (61.8% Fib exp.)
The US Dollar continues to push higher against the Swiss Franc, hitting the highest level in two weeks having found a floor above the 0.87 figure. Near-term resistance is at 0.8869, the 50% Fibonacci expansion, with a break above that targeting 61.8% level at 0.8899. Alternatively, a turn back below the 38.2% Fib at 0.8839 exposes the 23.6% expansion at 0.8802.
The available trading range is too narrow to satisfy risk/reward parameters given an ATR reading of 45 pips for a strategy using a stop-loss activated on a daily closing basis (as is the case with our approach). With that in mind, we will remain flat for now.
Confirm your chart-based trade setups with the Technical Analyzer. New to FX? Start Here!
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for DailyFX.com