On Wednesday, the US Dollar slightly strengthened against the Swiss Franc and recovered some losses of Tuesday.
The USD was supported by strong macroeconomic statistics from the US and poor data from the eurozone. The ADP Employment Change in the US showed a growth from 186 to 200 thousands, which was 5 thousand higher than forecasts. At the same time, the pair was pressured by poor data on Chicago PMI (48.7 for September against previous 54.4) and expectations of the Fed’s Janet Yellen speech.
Support and resistance
Bollinger Bands on the daily chart is moving horizontally, while the price range is slowly widening. MACD is trying to turn up but giving a sell signal. Stochastic has failed to reach the oversold zone and is also attempting to turn up.
The indicators recommend waiting for clearer trading signals.
Support levels: 0.9739, 0.9717, 0.9685 (29 September low), 0.9666 (24 September low), 0.9639, 0.9600, 0.9568, 0.9524 (18 September low), 0.9500.
Resistance levels: 0.9774 (30 September high), 0.9800, 0.9822 (9 September high), 0.9862.
Long positions can be opened after the breakout of the level of 0.9770 with targets at 0.9825, 0.9880 and stop-loss at 0.9750.
Short positions can be opened after the breakdown of the level of 0.9740 with the target at 0.9680 and stop-loss at 0.9760.