USD/CHF Price Analysis. Eyes breakout amid Fed tightening speculations

USD/CHF rebounds and trades with minor losses of 0.02%, rallying from two-day lows amid Federal Reserve tightening speculations.
The USD/CHF remains neutral, testing a downslope resistance trendline, but key oscillators hint at an impending bullish turn.
If USD/CHF reclaims 0.9000, resistance emerges at the 50-day EMA, with supports at the June 28 low and the YTD low.

Christian Borjon Valencia FXStreet

As the Asian session began, the USD/CHF traded with minuscule losses of 0.02%; following Wednesday’s session, the USD/CHF pair rallied from two-day lows of 0.8922 and rose toward a daily high of 0.8687. Speculations of further tightening by the Federal Reserve (Fed) spurred a leg-up in the USD/CHF. At the time of writing, the USD/CHF exchanges hands at 0.8966.

USD/CHF Price Analysis: Technical outlook

From a medium-term perspective, the USD/CHF is neutral biased but testing a downslope resistance trendline at around the 0.8970/90 area. Oscillators like the Relative Strength Index (RSI), although in bearish territory, is about to turn bullish as it closes to the 50-midline. Meanwhile, the three-day Rate of Change (RoC) suggests buyers are gathering momentum, despite lacking the strength to pierce the 0.9000 mark.

If USD/CHF reclaims the 0.9000 figure, immediate resistance will emerge from the 50-day Exponential Moving Average (EMA) at 0.9008. above that price level lies a downslope resistance trendline drawn in late May, which passes around 0.9030/40 before the USD/CHF can rally toward the 100-day EMA at 0.9082.

Conversely, the USD/CHF first support would be the June 28 daily low at 0.8922, followed by the 0.8900 figure, ahead of challenging the year-to-date (YTD) low of 0.8819.

USD/CHF Price Action – Daily chart

USD/CHF

Overview
Today last price	0.8967
Today Daily Change	0.0031
Today Daily Change %	0.35
Today daily open	0.8936

Trends
Daily SMA20	0.9011
Daily SMA50	0.8979
Daily SMA100	0.9092
Daily SMA200	0.9316

Levels
Previous Daily High	0.897
Previous Daily Low	0.8924
Previous Weekly High	0.9013
Previous Weekly Low	0.8907
Previous Monthly High	0.9148
Previous Monthly Low	0.882
Daily Fibonacci 38.2%	0.8942
Daily Fibonacci 61.8%	0.8953
Daily Pivot Point S1	0.8917
Daily Pivot Point S2	0.8897
Daily Pivot Point S3	0.887
Daily Pivot Point R1	0.8963
Daily Pivot Point R2	0.899
Daily Pivot Point R3	0.901

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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