- USDCHF bounced off key support at 0.8403
- The pair is trading in an upward channel from 7th of May
Recommendation:
Trade: Long USDCHF at market price
Targets: 0.8464, 0.8495
Stop: 0.8385
Opinion:
Looking at the USDCHF chart, one can see a potential upward trend resumption. The recent downward correction reached the key support at 0.8403. The aforementioned support is a result of a lower limit of 1:1 structure, as well as 23.6% Fibonacci retracement of the recent upward move started on 7th of May. In addition the bullish engulfing pattern surfaced on the H1 interval. Taking this into account, upward movement seems to be the base scenario. We recommend a long position on the USDCHF at the market price with two targets: 0.8464 and 0.8495. We also recommend placing a stop loss at 0.8385. Source: xStation5
