USD/CHF: technical analysis 14.08.2019
On 4-hour chart, the instrument shows a positive dynamic. The price is approaching a strong resistance in the region of level 0.97656 (Murray [0/8]). There is a chance of an downward rebound, while its breakouit would allow the raise to continue. The breakout and consolidation of the price above the level of 0.97656 will let USD/CHF reach the resistance level of 0.97952. Failure to conquer the 0.97656 resistance during short term period seems fetching the USD/CHF to 0.97390-0.97271 (the middle line of Bollinger Bands) support zone. Technical indicators mostly keep a buy signal, but the downward correction is possible in the short term. Bollinger Bands are diverging on the background of bullish momentum. MACD histogram is ready to enter the positive zone and form a buy signal. Stochastic is in the overbought area and is pointed downwards, reflecting the high possibility of the downward movement formation.
Support and resistance
Support levels: 0.97449, 0.97271, 0.97046.
Resistance levels: 0.97656, 0.97952, 0.98267.
Long positions can be opened above the level of 0.97656 with the target at around 0.97952 and stop-loss 0.97558.
Short positions can be opened below the level of 0.97449 with the target at around 0.97271 and stop-loss 0.97508.