FxWirePro: USD/CHF trades higher on increased rate hike hope, good to buy on dips
USD/CHF has shown a jump of almost 50 pips yesterday from the low of 0.93433. The pair has closed above trend line resistance at 0.9340 for second consecutive day. It is currently trading around 0.93953. US Fed FOMC minu…
USD/CHF has shown a jump of almost 50 pips yesterday from the low of 0.93433. The pair has closed above trend line resistance at 0.9340 for second consecutive day. It is currently trading around 0.93953.
US Fed FOMC minutes meeting shows that most of the participants are positive on US economy and raised their growth forecast. The central bank stance was hawkish and investors expects more than three rate hikes in a year.
Technically, in the daily chart the pair has closed above 20- day MA at 0.9340 and is trading above that level. The pair should break above 0.9400 for further jump till 0.94700 .It should move above 0.9470 for further bullishness.
On the lower side, near term support is around 0.9339 and any violation below will drag the pair down till 0.9300/0.9280/0.9240. Any break below 0.91817 confirms bearish continuation, a dip till 0.9060 likely.
It is good to buy on dips around 0.9375-80 with SL around 0.9340 for the TP of 0.94700.
