#USDCHF @ 0.97867 pares the biggest daily loss in 15 weeks, snaps two-day downtrend., @nehcap view: Further upside expected (Pivot Orderbook analysis)

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• USD/CHF pares the biggest daily loss in 15 weeks, snaps two-day downtrend.
• Firmer oscillators, rebound from 10-DMA direct buyers towards 61.8% Fibonacci retracement.
• Two-week-old ascending trend line adds to the downside filters.
• Descending trend line from mid-May acts as the key upside hurdle.

The pair currently trades last at 0.97867.

The previous day high was 0.9966 while the previous day low was 0.9746. The daily 38.2% Fib levels comes at 0.983, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9882, expected to provide resistance.

USD/CHF picks up bids to refresh intraday high around 0.9790 during Thursday’s Asian session while printing the first daily gain in three. In doing so, the Swiss currency (CHF) pair rebounds from the 10-DMA, as well as the weekly low, to pare the biggest slump since mid-June.

The pair’s sustained bounce off the 10-DMA support and the firmer RSI, not overbought, joins the bullish MACD signals to direct buyers toward the 61.8% Fibonacci retracement of the May-August downside, near the 0.9800 threshold.

Following that, tops marked in early September and July, around 0.9870 and 0.9885 respectively, will challenge the pair’s upside momentum.

If at all the USD/CHF bulls keep reins past 0.9885, a downward sloping resistance line from May, around 0.9930, could act as the last defense of the pair sellers.

Meanwhile, a downside break of the 10-DMA support of 0.9758 won’t be a welcome card for the USD/CHF sellers as a 12-day-old support line, close to 0.9725 by the press time, will test the declines.

Overall, USD/CHF is likely to remain firmer but the upside appears limited.

Trend: Further upside expected

Technical Levels: Supports and Resistances

USDCHF currently trading at 0.9782 at the time of writing. Pair opened at 0.9763 and is trading with a change of 0.19% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 0.9726, 50 SMA 0.9641, 100 SMA @ 0.9684 and 200 SMA @ 0.9506.

The previous day high was 0.9966 while the previous day low was 0.9746. The daily 38.2% Fib levels comes at 0.983, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9882, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.9684, 0.9605, 0.9464
• Pivot resistance is noted at 0.9904, 1.0045, 1.0124

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