USD/CHF Technical Analysis: Slightly overbought conditions warrant some caution near ascending trend-channel resistance
• The pair built on its recent positive momentum and Friday's goodish bounce from confluence support - comprising of 200-hour SMA and the lower end of a near two-week-old ascending trend-channel formation.
• The intraday positive momentum to over one-week tops has now lifted the pair to the trend-channel resistance and warrant some caution for bullish traders amid slightly overbought conditions on the 1-hourly chart.
• However, bullish oscillators on 4-hourly/daily charts support prospects for a further near-term appreciating move and should attract some dip-buying interest, which might help limit any meaningful corrective slide.
• Meanwhile, a sustained break through the trend-channel resistance has the potential to lift the pair further beyond the 1.0100 round figure mark towards testing YTD tops, around the 1.0120 region set in March.
USD/CHF 1-hourly chart