USD/CHF Price Analysis: Bulls await a sustained move beyond 0.9765-70 supply zone
- USD/CHF trades with a positive bias for the fourth consecutive session.
- The 0.9700 mark might now act as a strong base for bullish traders.
The USD/CHF pair edged higher for the fourth consecutive session on Thursday and is currently placed near one-week tops, levels just below mid-0.9700s.
Any subsequent positive move is likely to confront stiff resistance near the 0.9765-70 region (testing twice in January) and kept a lid on any further gains.
The mentioned barrier coincides with 38.2% Fibonacci level of the 1.0024-0.9613 downfall, which if cleared might be seen as a key trigger for bullish traders.
Moreover, technical indicators on hourly/daily charts have been gaining positive traction and support prospects for an extension of the ongoing momentum.
Hence, some follow-through buying has the potential to lift the pair further beyond the 0.9800 mark towards testing 50% Fibo. level resistance near the 0.9820 region.
Meanwhile, immediate support is pegged near 23.6% Fibo. level, around the 0.9700 round-figure mark, which if broken might negate prospects for any further recovery.
USD/CHF daily chart
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Author
Haresh Menghani
FXStreet
Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.
