USD-CHF: More Gains Expected

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK ( -- With a rally putting the dollar-Swiss franc currency pair firmly above 0.9180, its Sept. 22 high, at the end of the week, the pair heads into the new week on a strong footing, with more gains expected.

USD-CHF had embarked on a recovery off its 2011 low at 0.7068 following its long-term weakness, correcting slightly in late August and in early September.

With its short-term uptrend intact, we look for the pair to strengthen further in the new week and target 0.9340, its April 1 high.

A decisive break and hold above there will leave the pair to target 0.9503, its Feb. 22 high, with a violation of that level turning the focus to 0.9772, the dollar-Swiss franc's Feb. 11 high.

The pair's weekly relative strength index is bullish and pointing higher, suggesting further strength.

Alternatively, dollar-Swiss franc's Sept. 22 high at 0.9180 comes in as nearby support, with a turn below there targeting 0.8928, its Sept. 12 high.

A reversal of roles as support is expected to occur there, but if that fails, the pair's Sept. 15 low at 0.8647 will come in as the next support level.

All in all, the pair remains biased to the upside in the short term.

-- Written by Mohammed Isah.

>To contact the staff member responsible for this article, click here: Ross Snel.

>To follow the writer on Twitter, go to

>To submit a news tip, send an email to:
Mohammed Isah is a technical strategist and head of research at, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He formerly traded stocks before crossing over to the forex market, where he worked for FXInstructor LLC as a technical analyst and head of research before joining He has written extensively on the forex market and technical analysis and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, The International Business Times and At, he writes daily, weekly and long-term technical commentaries on currencies and commodities, which are offered to its clients. He also produces The Professional Suite for his subscribers. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities.