FX.co ★ Technical analysis of USD/CHF for May 25, 2016

Overview:

The USD/CHF pair faces resistance at 0.9967 and 1.0014. Moreover, the double top is found at 0.9940. Thus, the pair is likely to trade in a range between 0.9940 and 1.0014 levels today because it is still moving in uptrend. However, the support is seen at 0.9866. Therefore, it will be quite profitable to buy above this level (0.9866). From this point, buy deals are recommended above 0.9866 with targets at 0.9967 which is the first resistance and 1.0014 (the second resistance).

• On the H1 time frame chart, the RSI is still signaling that the trend is upward as it remains strong above the moving average (100). This suggests the pair will probably go up in coming hours. Accordingly, the market is likely to show signs of a bullish trend. In other words, buy orders are recommended above 0.9940 and 0.9866 levels with the first target at 0.9967. If the trend is able to break the first target at 0.9967, then the market will continue rising towards the weekly resistance 2 at 1.0014. On the other hand, if a breakout happens at the resistance level of 0.9866, then this scenario may be invalidated.