USDCHF trades in narrow range between 1.02144 and 1.01515 for past three trading day.US and China renewed trade tension has increased demand for safe haven asset.US President Trump has tweeted that US would hike tariff of 200bn Chinese good from 10% to 25% and currently “untaxed” USD325B will be tariffed at rate of 25%. USD Index trades weak for 3rd consecutive days and lost more than 70 pips from high of 98.10. It hits intraday high of 1.01895 and is currently trading around 1.01847.
The pair is facing strong resistance around 1.02500 and any violation above will take the pair to next level till 1.02900/1.0340 is likely.
The near term support is around 1.01570 and any violation below will drag the pair to next level till 1.01250. Any break below 1.01250 confirms minor trend reversal and a dip till 1.0070/1.000 is possible.
It is good to sell on rallies around 1.0185-90 with SL around 1.0235 for the TP of 1.0100/1.0070.
