FxWirePro: CHF/JPY takes support near 55-day EMA, good to buy on dips

Major support - 109.44 (55- day EMA)

CHFJPY is trading higher for the past two trading days and shown an 85 pips jump from low of 109.52 made on Jun 24th 2019. The pair was in the bullish mode for the past one week from Jun 18th till Jun 24th, 2019. The jump of more than 250 pips from low of 107.61 was mainly due to strength in Swiss franc. The trade war and escalation of the Middle East have increased demand for Safe-haven assets. The slight positive comments from Trump and the US Treasury secretary have increased hopes of the US-China trade deal which is putting pressure on the yen. USDJPY is trading higher and jumped more than 100 pips. The pair hits an intraday high of 110.41 and is currently trading around 110.38.

The near term resistance is around 110.50 high made yesterday and any violation above will take the pair to next level till 111.12 (161.8% Fib).

On the flip side, near term support is around 109.47 and any break below will take the CHFJPY till 109.17-109.10 (20- day MA/61.8% Fib).

It is good to buy on dips around 109.75-80 with SL around 109.40 for the TP of 111.12.