USD/CHF Price Analysis: Drops below 0.9400 as a falling wedge emerged

Broad US Dollar weakness across the board, a headwind for the USD/CHF.
A falling wedge in the USD/CHF daily chart suggests the pair might break upwards
USD/CHF: A break below 0.9326 might pave the way to 0.9300; otherwise, a rally to 0.9400 is on the cards.

Christian Borjon Valencia FXStreet

The USD/CHF extends its losses for two consecutive trading sessions, down by a minuscule 0.22%, after hitting a daily high of 0.9437. At the time of writing, the USD/CHF is trading at 0.9396, as the US Dollar Index (DXY) plunges 0.51%.

USD/CHF Price Analysis: Technical outlook

From a daily chart perspective, the USD/CHF daily chart suggests the pair is downward biased. Since mid-November, the USD/CHF has formed a falling wedge, a bullish continuation chart pattern, which appeared, following the massive swing from around 2022 highs of 1.0147, towards the last week’s 0.9326 low. Therefore, the USD/CHF might consolidate between the wedge boundaries before breaking upwards/downwards.

Oscillators give mixed signals, with the Relative Strength Index (RSI) aiming downwards, while the Rate of Change (RoC) portrays selling pressure fading. Unless the USD/CHF breaks below 0.9326 and poses a challenge to break the wedge on the downside, that could lay the ground for a test of the 0.9300 figure.

As an alternate scenario, the USD/CHF first resistance would be the 0.9400 figure, followed by the September 13 daily low-turned-resistance at 0.9479, followed by the wedge’s top-trendline at 0.9505, and the 20-day Exponential Moving Average (EMA) At 0.9510.

USD/CHF Key Technical Levels

USD/CHF

Overview
Today last price	0.9399
Today Daily Change	-0.0018
Today Daily Change %	-0.19
Today daily open	0.9417

Trends
Daily SMA20	0.949
Daily SMA50	0.9762
Daily SMA100	0.9701
Daily SMA200	0.9644

Levels
Previous Daily High	0.9456
Previous Daily Low	0.9381
Previous Weekly High	0.9548
Previous Weekly Low	0.9326
Previous Monthly High	1.0148
Previous Monthly Low	0.9357
Daily Fibonacci 38.2%	0.941
Daily Fibonacci 61.8%	0.9427
Daily Pivot Point S1	0.938
Daily Pivot Point S2	0.9343
Daily Pivot Point S3	0.9304
Daily Pivot Point R1	0.9455
Daily Pivot Point R2	0.9493
Daily Pivot Point R3	0.953

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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