The USD/CHF pair is trading in a range above the 0.9875 support area, and oil price remains in major uptrend above $57.20.
The US Dollar seems to be trading in a range and recently struggled to move above the 0.9940-50 resistance levels against the Swiss Franc.
The pair is already below the 61.8% Fib retracement level of the last wave from the 0.9877 low to 0.9945 high. Therefore, there are chances of it retesting the range support at 0.9775 in the near term, which holds the key for the next move.
The US recently saw the release of the Chicago Fed National Activity Index (CFNAI) for Oct 2017 by Federal Reserve Bank of Chicago. The forecast was slated for a rise from the last reading of 0.17 to 0.20.
However, the actual result was above the forecast, as the index rose to 0.65. The last reading was also revised up from 0.17 to 0.36. Therefore, the overall increase was impressive to 0.65.
The USD/CHF pair might continue to trade in a range, but it has to clear 0.9950 for an upside move.
There were heavy gains in oil price recently as it moved above the $56.50 and $57.00 resistance levels against the US Dollar. The price recently traded as high as $57.95 and remains poised for more upsides in the near term.
On the downside, an initial support is around the 23.6% Fib retracement level of the last wave from the $56.33 low to $57.95 high. Moreover, there is a key bullish trend line forming with support at $57.20 on the hourly chart.
The same trend line is aligned with the 38.2% Fib retracement level of the last wave from the $56.33 low to $57.95 high. Therefore, the trend line support near $57.20 is a major buy zone and a hurdle for sellers.
On the upside, a break above the $57.95 high would open the doors for more gains. The next targets could be $58.40 or even $58.80.
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