USD/CHF (a 4 hour chart)
The franc stabilized after rising amid the dollar’s general weakening against major currencies. The dollar has lost its achievements against the European currencies after the unexpectedly weak United States industrial production data publication.
The selling was intensified after it became aware the U.S. unexpected April industrial production drop by 0.6 % against the expected growth of 0.1%.
Earlier it was reported that the U.S. consumer price index in April was 2.0 % vs. 2.0 % and 1.5 % in March. Core CPI in April was 1.8 % vs. 1.7 %.
The first support is 0.8890, the next one is 0.8850. The first resistance is 0.8920, the next is one 0.8950.
The price is above the Cloud and above Chinkou-Span, that’s a strong and confirmed buy signal.
The upward movement remains until Kijun-Sen is under the price.
MACD is in the positive territory that supports the growth.
We advise to consider long positions. The first target is 0.8982. When the price consolidates above the first target, the level 0.9091 will become the second one.