Overview:

USD/CHF is expected to trade in a range. The CHF sentiment is boosted by the stronger-than-expected Switzerland July PMI of 54.3 (versus forecast 53.8). But USD/CHF downside is limited by the dovish Swiss National Bank's monetary policy. The daily chart is mixed as MACD is bullish, five and 15-day moving averages are advancing but stochastics is bearish in the overbought zone, inside-day-range pattern was completed on Monday.

Trading recommendations:

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 long as the price is keeping above its pivot point, a long position is recommended with the first target at 0.9110 and the second target at 0.9130. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.9035. A break of this target would push the pair further downwards and one may expect the second target at 0.9010. The pivot point is at 0.9055.

Resistance levels:
0.9110
0.9130
0.9155

Support levels:
0.9035
0.9010
0.8975