USD/CHF Price Analysis: Extends pullback from key resistance line
- USD/CHF takes offers, refreshes intraday low following the previous day’s U-turn from six-week-old resistance line.
- Downward sloping RSI, immediate support line break adds to the bearish impulse.
USD/CHF stands on the slippery ground while refreshing the intraday low to 0.9045, down 0.15% on a day, as European traders prepare for the bell.
The pair took a U-turn from a downward sloping trend line from April-start recently broke a two-day-old support line. This joins the descending RSI line, not oversold, to keep USD/CHF bears hopeful.
While 0.9000 is the closest the short-term sellers can look for, the pair’s further downside depends upon how well it breaks the tops marked during late December and early January close to 0.8910.
Meanwhile, recovery moves need not only break the multi-day-old resistance line near 0.9080 but should also cross the 100-SMA level of 0.9100.
Additionally, the monthly high near 0.9165 acts as an extra filter to the north.
USD/CHF four-hour chart
Trend: Bearish
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.
