USDCHF is bouncing from 0.88 to 0.8950-0.8960 area. Price target for this bounce has been lowered as the more time it takes to move higher, the lower the trend line resistance comes. Our target from the beginning of this bounce is to touch and test the major resistance trend line.
Blue lines - bullish divergence
A key level that needs to be broken upwards in order to increase chances of seeing 0.8960 is at 0.8910. A break above 0.8910 will push price towards the resistance trend line. Long-term trend remains bearish as price is still below the green trend line resistance making lower lows and lower highs. A pause or rejection at 0.8960-0.8980 area would be a signal to reestablish short positions.