USD/CHF technical analysis: Firm upside momentum towards 21-DMA amid bullish MACD
|- USD/CHF again confronts 23.6% Fibonacci retracement, while aiming 21-DMA, with the bullish MACD.
- 50-DMA and 38.2% Fibonacci retracement can please buyers before three-month-old resistance-line comes into play.
Although 23.6% Fibonacci retracement of April-August downpour has repeatedly questioned USD/CHF upside, bullish MACD increases the odds for the pair’s breakout as it takes the rounds to 0.9796 heading into the European session open on Monday.
In doing to 21-day simple moving average (DMA) at 0.9815, followed by 50-DMA level of 0.9846, will become buyers’ next targets. However, 38.2% Fibonacci retracement level of 0.9880 and a downward sloping trend-line since early-May, at 0.9930, could challenge bulls then after.
Should traders ignore bullish signal by 12-bar moving average convergence and divergence (MACD) indicator, 0.9770 and 0.9715 hold the keys for the pair’s drop to 0.9660.
Additionally, pair’s extended south-run beneath 0.9660 might not hesitate to call 0.9600 back to the chart.
USD/CHF daily chart
Trend: On the recovery mode
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.