Chart pattern formed – Triple bottom
USD/CHF -0.09% has recovered once again after hitting low of 0.98760 level. The pair has jumped for the third form this level. The pair jumped due to slight strength in US dollar index -0.04% . It hits high of 0.99450 and is currently trading around 0.99298.
Swiss Oct trade balance came at CHF 2.33 bln vs. 2.92bln. Exports m-o-m came at -1.8% vs. -1.3% and imports came at -1.1% vs. -3.1% prev.
German politics Jamaica party is over coalition between CDU/CSU, FDP 0.96% and SPD -0.93% has become failure since FDP 0.96% suddenly walked out from talks. The upside in USD/CHF -0.09% will capped due to political uncertainty in Germany which will increase the safe haven demand.
Technically, the pair took support near 233- day MA and started to recover from that level. Intraday trend is mildly weak, as long as resistance 0.9953 (20- day MA) holds. The pair’s near term support is around 0.9875 (34- day EMA ).Any convincing break below will drag the pair to next level till 0.9845 (233- day MA)/0.9805 ( 38.2% retracement of 0.9420 and 1.00390)/0.9770. Long term weakness only below 0.9705.
The major resistance is around 0.9950 (20- day MA) and any break above will take the pair to next level till 0.9980/1.000/1.0040. The near term resistance is around 0.9983 (10- day MA)/1.000.
It is good to sell on 0.9935-0.9940 with SL around 0.9970 for the TP of 0.9876/0.9845.
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