Source: Forex Analysis
USD/CHF is expected to prevail its upside movement. The pair broke above its 50-period moving average, which plays a support role and maintains the upside bias. The relative strength index is above its neutrality level at 50. In addition, 1.0135 is playing a key support level which should limit the downside potential.
The employment report by Automatic Data Processing Inc (ADP) showed that employers added 298,000 private jobs in the US in February, much higher than an addition of 187,000 jobs expected and helping to seal expectations that the Federal Reserve would raise interest rates next week.
To sum up, as long as this key level holds on the downside, expect a rebound to 1.0170 (Mar. 7 top). A break above this level would call for a new advance to 1.0190.
Resistance levels: 1.0170, 1.0190, and 1.0215
Support levels: 1.0120, 1.0105, and 1.0085
The material has been provided by InstaForex Company – www.instaforex.com