Technical analysis of USD/CHF for May 16, 2017 - Forex247

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Tuesday, May 16, 2017

Technical analysis of USD/CHF for May 16, 2017

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Overview:

  • The USD/CHF pair dropped down from the levels of 0.994 and 1.0044 in order to bottom at the point of 0.9960. Today, the pair is trading above its pivot point. It is likely to trade in a higher range as long as it remains above the level of 0.9882. Hence, the major support was already set at the level of 0.9882. Moreover, the double bottom is also coinciding around the major support today. Additionally, the RSI is still calling for a strong bullish market as well as the current price is also above the moving average 100. Therefore, it will be advantageous to buy above the current level of 0.9882 with the first target at 0.9994 in order to retest the daily resistance 1. From this point, if the pair closes above the weekly resistance 1 of 0.9994 , the USD/CHF pair may resume its movement to 1.0044 to form a new double top. On the other hand, stop loss should always be taken into account, accordingly, it will be beneficial to set the stop loss below the last bearish wave at 0.9812.
The material has been provided by InstaForex Company - www.instaforex.com


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