Overview:

USD/CHF is expected to trade with risks skewed higher. It is supported by the broadly firmer dollar undertone, 0.4% on-year drop in Switzerland March PPI and 1.5% on-year fall in import price index, dovish Swiss National Bank's monetary policy stance and franc sales on buoyant EUR/CHF cross. But USD/CHF gains are tempered by the franc demand on buoyant CHF/JPY cross. Daily chart is mixed as MACD is bearish, but stochastics is in bullish mode at oversold zone.

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 0.8825 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 0.8735. A breach of this target will push the pair further downwards and one may expect the second target at 0.8695. The pivot point is at 0.8755.

Resistance levels:
0.8825
0.8845
0.8870

Support levels:
0.8735
0.8695
0.8650