The USDCHF was indecisive yesterday. There are no changes in my daily technical outlook. The bias is neutral in nearest term. The major scenario remains bearish, but price has been trapped in range area of 0.8555 – 0.8274 for seven consecutive weeks now as you can see on my weekly chart below. The best strategy during this sideways condition remains to short around 0.8555 or long around 0.8274 with a tight stop loss. We need a clear break from the range area to see a clearer direction and I hope it will be a good trending market. Immediate resistance is seen around 0.8400 followed by 0.8440. On the downside, key support area remains around 0.8274. A clear break below that area could trigger further bearish scenario aiming for new historical low around 0.8200 – 0.8100 region.
©2011 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.