- USD/CHF locks in some gains in the early European session.
- Pair looks for additional gains, stays comfortably above 50-hour SMA.
- Momentum oscillator hints at upside momentum.
The USD/CHF edges higher in the initial European trading hours. The pair moves in a close trading range and awaits some confirmation before any directional bet.
At the time of writing, USD/CHF trades at 0.8983, up 0.08% for the day.
USD/CHF 4-hour chart
On the 4-hour chart, the pair has been well supported above the 5-hour Simple Moving Average (SMA) at 0.8977. USD/CHF makes higher lows formation beginning from the 0.8930, where highs are consolidated near the 0.9000 mark.
If the pair sustains above the session’s high at 0.8986, then it has the potential to move back to the 0.9000 key psychological level.
The Relative Strength Index (RSI) reads at 50. The reading suggests that there is room for further upside to the horizontal resistance level at 0.9020 followed by the previous day's high at 9024.
Alternatively, if price reverses direction, then the first target for USD/CHF bears could be the previous day’s low at 0.8967 followed by the June 1 low in the vicinity of 0.8945 area.
In doing so, the pair would test the rising trendline. The selling pressure would be intensified toward May 25 low at 0.8930 if price decisively breaks the trendline.
USD/CHF Additional Levels
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended content
Editors’ Picks
EUR/USD holds above 1.0650 after US data
EUR/USD retreats from session highs but manages to hold above 1.0650 in the early American session. Upbeat macroeconomic data releases from the US helps the US Dollar find a foothold and limits the pair's upside.
GBP/USD retreats toward 1.2450 on modest USD rebound
GBP/USD edges lower in the second half of the day and trades at around 1.2450. Better-than-expected Jobless Claims and Philadelphia Fed Manufacturing Index data from the US provides a support to the USD and forces the pair to stay on the back foot.
Gold is closely monitoring geopolitics
Gold trades in positive territory above $2,380 on Thursday. Although the benchmark 10-year US Treasury bond yield holds steady following upbeat US data, XAU/USD continues to stretch higher on growing fears over a deepening conflict in the Middle East.
Ripple faces significant correction as former SEC litigator says lawsuit could make it to Supreme Court
Ripple (XRP) price hovers below the key $0.50 level on Thursday after failing at another attempt to break and close above the resistance for the fourth day in a row.
Have we seen the extent of the Fed rate repricing?
Markets have been mostly consolidating recent moves into Thursday. We’ve seen some profit taking on Dollar longs and renewed demand for US equities into the dip. Whether or not this holds up is a completely different story.