Chart USD/CHF Update: Back in range
The anticipated break below support at 0.8650 has bounced smartly from 0.8625 in CHF-driven trade
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8875 | * | 30 Jul (w) high | S1 | 0.8650 | * | break level | |
| R3 | 0.8800 | ** | break level, 50% ret | S2 | 0.8600 | ** | congestion | |
| R2 | 0.8748 | ** | 15 Aug (w) high | S3 | 0.8550 | * | congestion | |
| R1 | 0.8700 | * | 38.2% ret of May-Sep fall | S4 | 0.8500 | congestion |
Asterisk denotes strength of level
09:20 GMT - The anticipated break below support at 0.8650 has bounced smartly from 0.8625 in CHF-driven trade, with prices currently trading around 0.8675. Intraday studies have turned higher, unwinding oversold areas, suggesting potential for a test of resistance at the 0.8700 Fibonacci retracement. But negative daily readings should prompt renewed selling interest around here. In the coming sessions, cautious trade is highlighted, with support at 0.8650. A fresh test beneath here sill open up congestion around 0.8600, where rising weekly charts are expected to prompt fresh buying interest. Meanwhile, a close above 0.8700, not yet seen, will turn sentiment positive and extend September gains towards the 0.8748 weekly high of 15 August.