FX.co ★ USD/CHF strongly bulllish

The USD/CHF pair registered a strong upwards movement. It has escaped from a down channel and now it seems determined to resume its upwards movement. Still, we'll have to wait for strong confirmation before taking action. It's trading at 0.9339 level at the time of writing.

The currency pair could extend its growth if the Dollar Index resumes its growth. Fundamentally, Switzerland's Unemployment Rate dropped from 2.3% to 2.2% matching expectations, while the Foreign Currency Reserves indicator was reported at 911B.

The bias remains bullish as the USD received a helping hand from the Unemployment Claims which came in at 166K in the last week versus 201K expected.

USD/CHF Down Channel As Bullish Pattern!

The USD/CHF pair is trapped between 0.9304 and 0.9349 levels after escaping from the down channel. Technically, the price retested the broken downtrend line signaling potential further growth.

Still, only a new higher high, a valid breakout above 0.9349 could activate more gains. Also, in the short term, the USD/CHF pair could extend its sideways movement if it fails to take out the 0.9349.

USD/CHF Forecast!

As lond as it trades above 0.9304, USD/CHF could resume its upwards movement. A new higher high, a valid breakout above 0.9349 could activate further growth and could represent a long opportunity.