USD/CHF Price Analysis: Bears will have a tough time above 0.9125
- USD/CHF stays heavy after taking a U-turn from 0.9198 the previous day.
- 50-day SMA, five-week-old rising trend line offer immediate support ahead of previous resistance line from June 30.
- Bulls will remain cautious unless crossing September month high, the 0.9200 threshold guards immediate upside.
USD/CHF drops to 0.9154, down 0.17% intraday, during the pre-European session on Friday. In doing so, the quote prices a three-day losing streak.
While the pair’s failures to cross the immediate upside hurdle near the 0.9200 round-figure favors the sellers, a confluence of 50-day SMA and an upward sloping trend line from September 01, around 0.9135 becomes a tough nut to crack for the USD/CHF bears.
Also acting as strong support is a 14-week-long falling trend line, at 0.9125 now, that used to act as a key resistance line before September 23.
Furthermore, the 0.9100 threshold, the mid-September low near 0.9058 and August month’s bottom surrounding 0.8998 are extra downside levels that challenge the USD/CHF south-run.
On the flip side, a clear break above the 0.9200 mark will help the pair to attack the August month’s peak close to 0.9240/45. Though, USD/CHF bulls will remain worries unless witnessing a daily close past the previous month’s top near .9300.
USD/CHF daily 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.
