USD/CHF Technical Analysis: Bulls await flag breakout

• The USD/CHF pair has charted a bull flag pattern on the 4-hour chart.
• A break above the flag resistance, currently located at 0.9918, would signal a revival of the rally from the Sept. 21 low of 0.9542 and could yield a rally to 1.00.
• The 50, 100 and 200-candle EMAs on the 4-hour chart is rising in favor of the bulls and are located one above the other, indicating the path of least resistance is on the higher side.
• However, if the flag if breached on the downside, then it would confirm that the rally from 0.9542 has made a top at a high of 0.9956.

4-hour Chart

Spot Rate: 0.9886

Daily High: 0.9887

Daily Low: 0.9865

Trend: Bullish above 0.9918

Resistance

R1: 0.9918 (flag resistance)

R2: 0.9956 (Oct. 9 high)

R3: 1.00 (major psychological resistance)

Support

S1: 0.9848 (previous day’s low)

S2: 0.9819 (100-day EMA)

S3: 0.9799 (200-day EMA)