08, June 2016

USD/CHF (a 4-hour chart)

USD/CHF (a 4-hour chart)

General overview

On Tuesday, the dollar fell against a basket of its major peers when Janet Yellen (the Federal Reserve Chairman) disappointed markets when she did not mention the time of the next rate hike.

Current situation

The pair continued its decrease yesterday. After a short-term consolidation at 0.9700 the pair dropped to 0.9650. Sellers could not break the level and USD/CHF started a consolidation. The overall outlook remains bearish. The resistance comes in at 0.9700, the support stands at 0.9650.

MACD is in a negative area, its signal line is in the histogram. MACD is decreasing. The RSI indicator is below 30 and is oversold. RSI shows a buy signal.

Trading recommendations

We expect the price to rebound upwards to 0.9700 and 0.9750.