Morning Report

The Dollar versus Swissy pair declined yesterday, as expected, yet fluctuated between the 38.2% and 50% corrections as it neared the pivot support at 1.0550, where we wait to witness a breach to the downside. From here we expect the pair to decline on the intraday basis confirmed by the breach of the above mentioned support, with a four hour close below it to target 1.0400 initially before heading towards 1.0000. The stochastic indicator may affect trading today, as it may result in mixed trading until the pair is able to gather the momentum it needs to decline. Trading below 1.0700 is needed to decline today.

The trading range for today is among the key support at 1.0300 and the key resistance at 1.0915

The general trend so far is to the upside as far as 1.0550 remains intact with targets at 1.2245

RecommendationBased on the charts and explanations above, our opinion is selling the pair with the breach of 1.0550 to 1.0400 and stop loss above 1.0635 might be appropriate.