USDCHF gained more than 50 pips on board-based US dollar buying. It hit a high of 0.80520 and is currently trading around 0.80520.
Markets eye the US ISM manufacturing PMI for further direction.
Technical Analysis Points to Further Upside
The pair is trading below the 55-EMA, below 2the 00 EMA and 365 EMA on the 1-hour chart, indicating a bullish trend. The immediate resistance is at 0.8060; any break above targets 0.8090/0.8135/0.8170/0.8215/0.8250.
Support Levels and Potential Declines
On the downside, near-term support is around 0.8000; any violation below will drag the pair to 0.7980/0.7920/0.7860/0.7800.
Indicators (1-hour chart)
CCI (50) - Bullish
Directional Movement Index - Bullish
Trading Strategy Recommendation
It is good to buy on dips around 0.8038-40 with a stop-loss at 0.8000 for a TP of 0.8130.
