USD/CHF Price Analysis: Bulls attack 0.9850 inside weekly rising wedge

USD/CHF refreshes monthly top during eight-day uptrend, inside bearish chart pattern of late.
Overbought RSI, wedge tease bears but 200-SMA could challenge corrective pullback.
Bulls have a bumpy road to the north unless crossing 0.9875.

Anil Panchal FXStreet

USD/CHF remains firmer for the eighth consecutive day as it renews the monthly top around 0.9845-50 heading into Tuesday’s European session.

In doing so, the Swiss currency (CHF) pair pokes the 61.8% Fibonacci retracement (Fibo.) of the June 15-29 downturn.

That said, the USD/CHF pair remains inside a weekly rising wedge bearish chart pattern as the overbought RSI (14) probes the bulls.

Hence, the 61.8% gold ratio surrounding 0.9840 precedes the stated wedge’s upper line, close to 0.9865, to restrict the short-term USD/CHF upside.

Also acting as an upside filter is the monthly horizontal resistance area surrounding 0.9875.

In a case where the USD/CHF rises past 0.9875, the odds of witnessing a run-up towards June’s high surrounding 1.0050 can’t be ruled out.

On the contrary, pullback moves need validation from the wedge’s support line, close to 0.9800 at the latest, to lure the pair bears.

Even so, the 200-SMA level surrounding 0.9688 acts as the last defense of USD/CHF buyers.

USD/CHF: Four-hour chart

Trend: Limited upside expected

Additional important levels

Overview
Today last price	0.9842
Today Daily Change	0.0008
Today Daily Change %	0.08%
Today daily open	0.9834

Trends
Daily SMA20	0.9682
Daily SMA50	0.9741
Daily SMA100	0.9552
Daily SMA200	0.9382

Levels
Previous Daily High	0.9843
Previous Daily Low	0.9764
Previous Weekly High	0.9798
Previous Weekly Low	0.9562
Previous Monthly High	1.005
Previous Monthly Low	0.9495
Daily Fibonacci 38.2%	0.9813
Daily Fibonacci 61.8%	0.9794
Daily Pivot Point S1	0.9784
Daily Pivot Point S2	0.9734
Daily Pivot Point S3	0.9705
Daily Pivot Point R1	0.9863
Daily Pivot Point R2	0.9893
Daily Pivot Point R3	0.9942

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.

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