- USD/CHF declined almost 90 pips from the high of 0.98455 made yesterday. The sudden decline in the pair was mainly due to news that China is expecting to reduce or halt US bond purchase. Swiss franc jump was short lived and shown a minor recovery from the low of 0.9753. It is currently trading around 0.98075.
- Intraday trend is still bullish as long as support 0.9750 holds. Market awaits US PPI inflation data and US jobless claims for further direction.
- On the higher side, near term resistance is around 0.9855 (trend line resistance) and any break above will take the pair to next level till 0.9900/0.9970 (Dec 8th 2017 high)/1.000. It should break above 1.0040 for short term bullishness.
- The near term support is around 0.9750 (61.8% fibo) and any close below that level will drag the pair to next level till 0.9730/ 0.9690.
It is good to buy on dips around 0.9795 with SL around 0.9750 for the TP of 0.9870/0.9900.
