FX.co ★ Technical analysis of USD/CHF for September 31, 2020

Overview:

Resistance and support of the USD/CHF pair are set at 0.9244 and 0.9171 respectively. As known, Fibonacci retracement is used to determine accurate psychological levels of support and resistance. But it should be noted that the period of time should be taken into account, so in the daily chart the price has still moved above 61.8% Fibonacci retracement levels (0.9171). Additionally, the price is in a bullish channel now. Amid the previous events, the pair is still in a uptrend. From this point, the USD/CHF pair is continuing in a bullish trend from the new resistance of 0.9171. The RSI is still signaling that the trend is upward as it remains strong above the moving average (100). This suggests the pair will probably go up in coming days. Therefore, forecast for today will be in the following form: Buy above 0.9171 with the first target at 0.9287, it might resume to the 0.9324 level in coming days. On the other hand, if the price closes below the minor support, the best location for the stop loss order is seen below 0.9127; hence, the price will fall into the bearish market in order to go further towards the strong support at 1.4122 to test it again. Furthermore, the level of 0.8987 will form a double bottom. Stop losses should be placed below 0.8987 (in case of buying at the above the level of 0.9171).