USD/CHF Price Analysis: Battles 13-day-old resistance line above 0.9100
- USD/CHF eases from intraday high of 0.9134 during the latest pullback.
- Normal RSI, bullish MACD favor the buyers, sellers will seek entries below 0.9055.
- A clear break above 0.9240 will buoy the pair optimists.
USD/CHF recedes to 0.9121, up 0.26% on a day, during the pre-European session on Friday. The pair dropped to the early-January 2015 lows on Wednesday but the following pullback gains support from bullish MACD and failures to break 0.9055/51 rest-zone pleases the buyers off-late. However, the quote needs to confirm a short-term falling triangle formation to provide the trading strength.
Other than the 0.9130 immediate resistance, a horizontal line around 0.9240 also becomes the key for pair traders to watch as a break of which will confirm double-bottom formation and extend the recoveries towards 0.9370/75 region.
Should there be a further buying pressure past-0.9375, the mid-July top near 0.9470 will be in the spotlight.
Meanwhile, sellers will keep staying away unless the pair drops below 0.9050 that holds the gate for the 0.9000 threshold’s arrival on the chart.
In a case where the bears dominate past-0.9000, January 20, 2015 top near 0.8840/35 may become their favorite.
USD/CHF four-hour chart
Trend: Pullback expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
