Following a rise of more than 250 pips from the temporary bottom of 0.78756, USDCHF experienced a small sell-off. Now trading at 0.80502, it peaked at 0.81242.
Technical Analysis Points to Further Bullishness
The pair is trading above 55-EMA, the 200 EMA, and 365 EMA on the 4-hour chart, indicating a bullish trend. The immediate resistance is at 0.8090; any break above targets 0.8150/0.8180/0.8215/0.8250.
Support Levels and Potential Declines
On the downside, near-term support is around 0.8040; any violation below will drag the pair to 0.8020/0.7965/0.7900/0.7860/0.7800.
Indicators (4-hour chart)
CCI (50) - Bullish
Directional Movement Index - Neutral
Trading Strategy Recommendation
It is good to buy on dips around 0.80500 with SL around 0.8020 for a TP of 0.8150/0.8175.
