USDCHF testing the long-term support zone
USDCHF is testing a strong long-term support zone 0.9330-0.9380. We are within a long-term consolidation triangle with well-defined breakout levels. For the upside reversal from here, we need to see a price action bounce off 0.9330-0.9380 zone for a swing higher to a key upside breakout level 0.9700. Breakout downside reversal long-term will come upon a break below 0.9330.
On a daily chart, we can see that the pair is going for another test of the 0.9380 support/downside resistance. We need to see a daily price action bounce off this level here. You can go long on a break above the 0.9420 for a higher probability of profitable trade. Our trading system is indicating a potential of 300-400 points of profit. Look for the short trade entries invalidation to come only on a clear daily close below 0.9300.
We have used the combination of the top-down trading analysis to get these key levels explained in the charts.
