By: Colin Jessup
The USD/CHF, or Swissy as it is commonly known to traders, appears to have its sights set on the weekly Support/Resistance Level at 0.9300. The pair tested this level at the beginning of October reaching a high of 0.9314 that week. Now we could be setting up another effort to push through this level, and take the pair higher...or we could be looking at a 'Double Top' formation and follow through with a Bearish move. Drawing Fibonacci Retracement levels from the high at the end of May 2010, to the low in August of this year we see that the weekly zone at 0.9300 is very close to the 50% Fibo level of 0.9397 which will also act as Resistance and could stop the Bulls in their tracks. Below we have the 38.2% retracement at 0.8847 which will provide some support with another weekly S/R Zone offering further support at 0.8627. I will be watching this pair very closely this week. I am cautiously Bullish on this pair for now, but anticipate a potential trend change at this 0.9300 level.
Happy Trading!
