USD/CHF: technical analysis 04.05.20
On the 4-hour chart, the instrument keeps a positive dynamic amid the correction. At the moment the price has met the resistance at the level of 0.96436. Assuming the pair’s ability to cross this mark, the level of 0.96741 can be targeted if holding long positions. The area of 0.96741-0.96782 (middle line of Bollinger Bands) can prevent the instrument from growing, as the possibility of the reverse of the price is high there. However, the decisive breakout of 0.96782 will be a signal of the upward trend resumption and give a prospect of growth to the area of 0.97046.
The downward rebound from 0.96436 could lead the price back to 0.96130 support. Should prices continue slipping below 0.96000, the 0.95825 support might try activating an upward rebound. One may speak about downward movement continuation after the price consolidates below the support level of 0.95800. In this case, the next target of sellers will be the level of 0.95520.
Technical indicators maintain a buy signal.
Bollinger Bands are converging on the background of bullish momentum.
MACD is decreasing in the negative zone.
Stochastic is pointed upwards, reflecting the high possibility of upward movement formation.
Support and resistance
Support levels: 096130, 0.95825, 0.95520.
Resistance levels: 0.96436, 0.96741, 0.97046.
Long positions can be opened above the level of 0.96436 with the target at around 0.96741 and stop-loss at 0.96334.
Short positions can be opened below the level of 0.96130 with the target at around 0.95825 and stop-loss at 0.96231.