Overview:

USD/CHF is expected to consolidate with bullish bias after hitting a two-week low at 0.8768 on Monday. It is undermined by the franc demand on buoyant CHF/JPY cross. But USD/CHF losses are tempered by the dovish Swiss National Bank's monetary policy stance. Daily chart is mixed as MACD is turning bearish, but stochastics is neutral.

Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 0.8830 and the second target at 0.8845. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8755. A breach of this target will push the pair further downwards and one may expect the second target at 0.8720. The pivot point is at 0.8770.

Resistance levels:
0.8830
0.8845
0.8860

Support levels:
0.8755
0.8720
0.87