Daily Pivots: (S1) 0.9826; (P) 0.9854; (R1) 0.9876; More….
Breach of 0.9880 suggests that USD/CHF’s rally is resuming. Intraday bias is back on the upside. As noted before, medium term fall from 1.0342 should have completed at 0.9420 already. Current rally should target 61.8% retracement of 1.0342 to 0.9420 at 0.9990. Sustained break there will pave the way to retest 1.0342 high. In any case, outlook will remain bullish as long as 0.9736 support holds.
In the bigger picture, current development suggests that USD/CHF has defended 0.9443 (2016 low) key support level again. Rise from 0.9420 could develop into a medium term move and target a test on 1.0342 high. This represents the upper end of a long term range that started back in 2015. On the downside, break of 0.9587 support is now needed to indicate completion of the rise from 0.9420. Otherwise, further rally will remain in favor in medium term.
