USD/CHF Price Analysis: Emerging inverse head-and-shoulders pattern in the daily, targets 1.0370

The USD/CHF cuts some of its Tuesday’s losses, down 0.18% during the session.
Once the USD/CHF broke above the 0.9900 figure, it paved the way for a parity re-test.
An inverse head-and-shoulders in the USD/CHF daily targets 1.0370.

Christian Borjon Valencia FXStreet

The USD/CHF is trimming some of the day’s earlier losses, bouncing off daily lows around 0.9849 and climbing above the 0.9900 figure, for the second consecutive day, as sentiment shifts negative, with the S&P 500 hitting a new two-year low during the day. At the time of writing, the USD/CHF is trading at 0.9913, slightly down by 0.18%.

USD/CHF Price Analysis: Technical outlook

The USD/CHF daily chart portrays the major as upward biased, further cementing its bias once it clears the July 14 swing high at 0.9886. Earlier in the day, USD/CHF sellers tried to reclaim the latter, but buying pressure overcame sellers, and the USD/CHF edged above the 0.9900 threshold. It should also be noted that an inverse head-and-shoulders chart pattern is emerging, which could pave the way for further gains.

If the USD/CHF breaks above parity, that could put in play the YTD high at 1.0064. Once cleared, the next resistance level would be the 1.0100 figure, followed by the May 2019 swing high at 1.0226, ahead of the inverse head-and-shoulders target at 1.0369.

USD/CHF Key Technical Levels

USD/CHF

Overview
Today last price	0.9912
Today Daily Change	-0.0022
Today Daily Change %	-0.22
Today daily open	0.9934

Trends
Daily SMA20	0.9718
Daily SMA50	0.9635
Daily SMA100	0.9686
Daily SMA200	0.95

Levels
Previous Daily High	0.9966
Previous Daily Low	0.9794
Previous Weekly High	0.9851
Previous Weekly Low	0.962
Previous Monthly High	0.9808
Previous Monthly Low	0.9371
Daily Fibonacci 38.2%	0.99
Daily Fibonacci 61.8%	0.9859
Daily Pivot Point S1	0.983
Daily Pivot Point S2	0.9726
Daily Pivot Point S3	0.9658
Daily Pivot Point R1	1.0002
Daily Pivot Point R2	1.007
Daily Pivot Point R3	1.0174

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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