USD/CHF technical analysis: 100-DMA, 0.9948/50 confluence question buyers
|- USD/CHF nears multiple key upside barriers while trading close to August month high.
- A pullback towards 38.2% Fibonacci retracement can’t be denied but recovery seems to be less diluted unless breaking 0.9780.
Not one but two key resistances restrict the USD/CHF pair’s recovery as it trades near 0.9920 while heading into Tuesday’s European open.
The 100-day simple moving average (SMA) at 0.9930 acts as immediate resistance whereas the 0.9948/50 confluence, including 200-day SMA and 50% Fibonacci retracement of April-August downpour, raise bars for further upside.
In a case where prices manage to conquer 0.9950 on a daily closing basis, August 01 top surrounding 0.9975 and 1.0000 psychological magnet could become buyers’ favorites ahead of 61.8% Fibonacci retracement of 1.0016.
On the flip side, 38.2% Fibonacci retracement level of 0.9880 can lure sellers ahead of challenging them with 0.9840 and 0.9795 mark including 23.6% Fibonacci retracement.
It should, however, be noted that odds of pair’s upside can’t be denied unless it drops below four-week-old rising trend-line, at 0.9780.
USD/CHF daily 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.