USD/CHF technical analysis: 200-DMA, 50% Fibo. restrict immediate upside
|- USD/CHF follows a four-week-old rising trend-channel.
- 0.9950 resistance confluence holds the key for a run-up to channel’s upper-line.
USD/CHF again attempts to conquer 200-day simple moving average (DMA) as it takes the bids to 0.9940 ahead of Thursday’s European session open.
Increasing the strength of the resistance is 50% Fibonacci retracement of April-August declines, at 0.9950, a break of which will escalate the pair’s rise towards channel’s resistance-line, at 0.9980 now.
In a case bulls refrain from respecting 0.9980, the 1.000 psychological magnet and 61.8% Fibonacci retracement level of 1.00165 will be on their radars.
On the contrary, 38.2% Fibonacci retracement level of 0.9880 could restrict the pair’s near-term declines, a break of which could highlight 50-DMA level of 0.9845 and channel’s lower-line, at 0.9820.
If at all 0.9820 falls short of pulling the pair up, 23.6% Fibonacci retracement level near 0.9800 and late-August bottom surrounding 0.9715 could lure bears.
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.