USD/CHF 4H Chart: Channel Up

Dollar/Franc is at risk of failing to rebound, considering a tough supply ahead of the spot price. One of the first major resistances is represented by the monthly S1 at 0.9975, followed by the parity level 1.00. On top of that, the 100-period moving average line has just recently penetrated the 200-period SMA, meaning the bias is skewed to the downside. We are watching the latter level placed at 1.0055. In case USD/CHF is unable to pierce through this mark, we will estimate another round of a sell-off with a possibility to drop under 0.98, namely the pattern's support and weekly S1. On the side of the bulls, however, USD/CHF seems to be oversold right now (74% of all trades are short).