© Dukascopy Bank
"I don't expect to see the dollar pull back significantly. It's probably going to be a consolidation week for the U.S. dollar"
- Mitul Kotecha at Credit Agricole (based on CNBC)
Industry outlook
USD/CHF has the potential to plummet down to 0.9066, which in turn should be able to halt bearish thrust. In order to restore bullish bias the currency pair will have to overcome an initial resistance at 0.9215/24 (20 day ma) first.
Traders' sentiment
The Swiss Franc remains the most unpopular currency and this is translated into USD/CHF currency pair, which has been bought by 60% of traders.
Long position opened
The price might rebound from the first resistance level at 0.9163, so major dealers are planning to close some of their long positions near this level. Subsequent goals for bulls are 0.9214 and 0.9250.
Short position opened
Bearish traders will pay attention to the key support levels in order to close their deals. The primary forecast target is 0.9076. If the pair erodes this level, then it might rebound from S2 of 0.9040 or S3 of 0.8989.
© Dukascopy Bank