USDCHF: Prefer to buy dips

Jim Langlands FX Charts

USDCHF: 0.9754

US$Chf traded a little higher on Monday and after an early dip to 0.9695 it headed up to finish at the highs of 0.9755, leaving the mildly bullish outlook unchanged.

If we do see further gains, above last Thursday’s high of 0.9770 would allow a run towards 0.9785 and to 0.9800/05. Beyond there opens the way to 0.9825 and possibly higher, towards 0.9850 and eventually to 0.9915

On the downside, minor support will arrive at 0.9720 and again at the session low of 0.9695 although this looks a little doubtful to be seen again on Tuesday. Below their though would see a move back to 0.9675 and then towards the 100 MMA/14 June low which would provide strong support although it is looking increasingly distant.

With the daily momentum indicators leaning higher, I still prefer to trade from the long side, looking to buy dips towards the 0.9700 with a SL placed under 0.9675. A move above 0.9807 would add to the bullish theory.

24 Hour: Prefer to buy dips		Medium Term: Prefer to buy dips
Resistance		Support
0.9846	17 May high	0.9720	Minor
0.9825	18 May high	0.9695	Session low
0.9807	30 May high	0.9675	200 HMA
0.9770	15 June high	0.9640	100 MMA/14 June low
0.9758	Session high	0.9613/16	6 June low /9 June low

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Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

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