By: Colin Jessup
The Swissy or USD/CHF is stalled on the support one of 0.9110 once again. Prices have been struggling to break this support level since January 27, 2012 and struggled with this zone in November and December of 2011 as well. Today price once again broke as low as 0.9082 but was unable to hold below closing at 0.9115. Price is well below the DMA at 0.9220 and has been trading below the 62EMA since it broke on January 23, 2012. If the bears are successful in their attempts to clear this zone, they will next encounter support at 0.9020 and 0.8950. There is more resistance to the upside however with immediate resistance at 0.9200. Price will remain bearish until we get a break above the resistance zone of 0.9270, which is a weekly zone, and as such will break out of this trading box that it has been trading in for weeks. The bulls will have their work cut-out for them even if they break 0.9270 with resistance only 50 pips above at 0.9320. I remain bearish on this pair from a position standpoint, with price mixing it up between 0.9100 & 0.9200.
Happy Trading