Major resistance- 0.9520
The pair trades higher for a third consecutive week and hits the highest level since Mar 2021. Hawkish comments from Fed officials have increased the chance of an aggressive rate hike by the fed. According to the CME Fed watch tool, the probability of a 50 bpbs rate hike in May increased to 93.2 % from 86% one week ago. USDCHF hits an intraday high of 0.95362 and is currently trading around 0.95009.
Bullish scenario-
The primary level to Watch – is 0.9520 (200-W MA). Any weekly close above confirms major bullishness. A jump to 0.9560/0.9600 is possible.
Bearish scenario-
Intraday support – 0.9460. Break below that level will take the pair to 0.9430/0.9380/0.9340.
Indicators (Weekly chart)
Directional movement index – Bullish
CCI (50) - Bullish
It is good to buy on dips around 0.94800 with SL around 0.9450 for a TP of 0.9600.
