FX.co ★ USDCHF continues closer towards our target

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.