USD/CHF Price Analysis: Resistance-turned-support defends bulls below 0.9300
|- USD/CHF grinds lower despite staying above previous resistance line.
- 20-SMA, bearish MACD challenges buyers, two-week-old rising trend line adds to the downside filters.
USD/CHF flirts with short-term support line, previous resistance, around 0.9275 during the pre-European session on Tuesday.
Even so, bearish MACD signals and failures to cross 20-SMA immediate hurdle challenges the Swiss currency (CHF) pair buyers, keeping sellers hopeful.
However, a clear downside break of 0.9270 support line figures becomes necessary for the bears to tighten the grips and aim for an ascending support line from September 08, near 0.9250.
Also acting as a downside filter are the early month tops surrounding 0.9230 and the 0.9200.
On the flip side, recovery moves may gain momentum on crossing the 20-SMA level close to 0.9285.
Following that, the monthly high near 0.9335 and March’s high close to 0.9375 will be in focus before directing the USD/CHF bulls to the yearly peak of 0.9472.
To sum up, USD/CHF bulls fail to keep the reins and hence the previous day’s pullback is likely to extend.
USD/CHF: Four-hour chart
Trend: Pullback expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.