USDCHF has recaptured the 0.98 level and is moving closer to our 0.99 target after breaking above 0.9750 resistance. The formation remains valid and so is our target. Short-term trend remains bullish with important support still at 0.9750.
Blue line- resistance
Green line - bullish divergence
Red line- expected size of upward move
USDCHF is moving higher as expected. The break out above the blue line was followed by a back test and a bounce. Bulls do not want to see price fall below the blue neckline. The RSI has still not reached overbought levels, so I expect this upward reversal from 0.9630 to unfold into a bigger bounce towards 0.99 and higher.