Daily Pivots: (S1) 0.9952; (P) 0.9976; (R1) 1.0017; More…
USD/CHF’s rally continues in early US session and edges higher to 1.0017. While upside momentum is unconvincing as see in 4 hour MACD, intraday bias stays on the upside for further rally. Decisive break of 1.0037 resistance will extend the whole rally from 0.9186 towards 1.0342 key resistance On the downside, though, below 0.9937 minor support will indicate short term topping. And, in that case, deeper retreat could be seen to 4 hour 55 EMA (now at 0.9894) and below before staging another rise.
In the bigger picture, medium term decline from 1.0342 has completed with three waves down to 0.9186. Rise from there is currently viewed as a leg inside the long term range pattern. Hence, while further rally would be seen, we’d be cautious on strong resistance from 1.0342 to limit upside. For now, further rise is expected as long as 0.9648 resistance turned support holds, even in case of pull back.
