FxWirePro: USD/CHF trades weak, good to sell on rallies

• USD/CHF has declined once again after showing a jump till 0.99467. The pair has declined fourth time from this level. It is currently trading around 0.98918.
   
• Market awaits US durable goods and unemployment claims data for further direction. US Fed minutes meeting will not have much impact on the US dollar. But any surprise from Congress on tax reform might push the US dollar further higher. The Senators are expected to vote within 10 days.
   
• German politics Jamaica party is over coalition between CDU/CSU, FDP and SPD has failed to reach compromise on a number of key issue including immigration. In Germany new poll by INSA shows that 50% prefers new election. The political uncertainty in Germany will increase the safe haven demand like Gold, yen and Swiss Franc.
   
• Technically, the pair is facing resistance at 0.9950 (20- day MA) and any minor bullishness can be seen only above that level. Any break above will take the pair to next level till 0.9980/1.000/1.0040. Short term trend reversal only above 1.0040.
   
• The intraday trend is mildly weak, as long as resistance 0.9953 (20- day MA) holds. The pair’s near term support is around 0.9875 (34- day EMA).Any convincing break below will drag the pair to next level till 0.9845 (233- day MA)/0.9805 (38.2% retracement of 0.9420 and 1.00390)/0.9770. Long term weakness only below 0.9705.
   
• The major resistance is around 0.9950 (20- day MA) and any break above will take the pair to next level till 0.9980/1.000/1.0040. The near term resistance is around 0.9983 (10- day MA)/1.000.

It is good to sell on 0.9920 with SL around 0.9955 for the TP of 0.9855/0.9805.