FxWirePro- USDCHF Daily Outlook

Ichimoku analysis (4-hour chart)

Tenken-Sen- 0.90476

Kijun-Sen- 0.90476

Previous week high– 0.92021

 The pair has once again declined after a minor pullback to 0.90775 despite the strong US dollar. The increase in risk aversion due to the surge in coronavirus cases is dragging the pair further down. It hits a record high in July at 64.1 compared to a forecast of 60.40. The US dollar gained and holding well above92 level. While US private sector has added 33000 jobs in July well below expectations of 695000. At the time of writing, USDCHF is hovering around 0.90567, up 0.08%.

Markets eye US initial jobless claims for further direction.

Trend- Bearish

The near-term support is around 0.9000, any breach below targets 0.8925. A breach below 0.8925 confirms that a minor top has been formed around 0.92750. A dip to 0.8742 is likely. On the higher side, immediate resistance is around 0.9075 (200-day MA). Any convincing breach above will take to the next level 0.91150 (support turned into resistance)/ 0.9128/0.9150/0.9185.

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 Indicator (4 Hour chart)

 CAM indicator – Slightly Bullish

 Directional movement index –Bearish

It is good to sell on rallies around 0.9058-60 with SL around 0.91160-5 for a TP of 0.8925.