- USD/CHF consolidates the biggest daily losses in seven weeks.
- Steady RSI, sustained break of the key support line, 61.8% Fibonacci retracement favor sellers.
- Bears eye five-month-old horizontal support line, buyers have a long and bumpy road ahead.
USD/CHF pares the heaviest daily losses since late November around 0.9145 heading into Thursday’s European session.
The Swiss currency (CHF) pair remains near the lowest levels in over a week while keeping the previous day’s downside break of monthly support line, now resistance near 0.9230, as well as 61.8% Fibonacci retracement (Fibo.) of August-November upside, at 0.9155.
Given the steady RSI and a lack of decisive momentum signals from MACD, the USD/CHF prices are likely to remain pressured until crossing the 0.9155 immediate hurdle.
Even if the quote rise past 0.9155, 50% Fibo. level near the 0.9200 threshold, will challenge the pair buyers before directing them to the support-turned-resistance line surrounding 0.9230.
During the USD/CHF run-up beyond 0.9230, the monthly high of 0.9278 will be in focus.
Alternatively, a horizontal line since August 17, around 0.9100, stays on the USD/CHF bear’s radar.
Following that, August month’s low near 0.9020 and the 0.9000 psychological magnet will gain the seller’s attention.
USD/CHF: Daily chart
Trend: Further weakness expected
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD bulls flirt with 0.7100 with eyes on Aussie Retail Sales, US PCE Inflation
AUD/USD holds onto the recently sidelined moves around 0.7100 as bulls and bears jostle over mixed clues heading into the key data on Friday. Also restricting the Aussie prices are downbeat statistics at home and looming economic fears over the largest customer China.
EUR/USD: Bulls are taking control and eye the 1.08 area
EUR/USD's market structure is now bullishon the daily chart. Euro's support near 1.0705 could offer a base from which bulls can engage in order to target the 1.08 areas. For the FOMC minutes, the pair was based at the targetted support area and there were prospects of a higher correction from support.
Gold bulls moving in on key hourly resistance, dollar remains soft
Gold bulls moving back in as the US dollar remains on the backfoot. This week's candle is bullish and the bulls have corrected to a 38.2% ratio milestone.
Will Cardano price finally show its cards?
Cardano price is preparing for a retest of $0.80. Still, jumping in early might be too risky. Traders should wait for confirmation signals.
FXStreet Premium users exceed expectations
_XtraSmall.png)
Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!