FxWirePro: USD/CHF forms shooting star and bearish divergence on daily chart ,good to sell on rallies

Candlestick pattern: Shooting star

Chart Pattern: Bearish Divergence (CCI(50))

• USD/CHF has shown a good jump of more than 200 pips yesterday from the low of 0.9855 made on Jul 9th 2018. The pair hits high of 1.00680 and declined more than 70 pips on slightly weak dollar.US CPI and PPI data came better than expected. Market eyes US retail sales data and Trump-Putin summit for further direction. The rise in inflation confirms more than two rate hikes by fed in this year. The downside is capped due to policy divergence between US fed and SNB.The pair hits intraday low of 0.9988 at the time of writing. It is currently trading around 0.99890.
   
• On the higher side, 1.0060 high made on May 10th 2018 will be acting as near major resistance and any convincing break above will take the pair to next level till 1.010/1.0180.
   
• The near term major support stands at 0.9975 (23.6% fib) and any break below targets 0.9930/0.988 (55- day EMA)/0.9800.
  
  It is good to sell on rallies around 1.003-35 with SL around 1.0067 for the TP of 0.9950/0.9900.