Morning Report

The Dollar versus Swissy returned within a downside channel after reversing to the downside from the 1.0420 level as expected yesterday where it is currently facing a pivot support at 1.0325 which we believe is to be breached to open the way for further declines on the intraday basis to support short term downtrend targeting 1.0000. The stochastic indicator is showing the pair being oversold which may make it difficult for the pair to breach the above mentioned support level. The decline is valid as far as 1.0420 remains intact.

The trading range for today is among the key support at 1.0000 and the key resistance at 1.0700

The general trend is to the downside as far as 1.1225 remains intact with targets at 0.9600

RecommendationBased on the charts and explanations above, our opinion is selling the pair with the breach of 1.0325 to 1.0220 and stop loss above 1.0420 might be appropriate.