- USD/CHF fails to extend the corrective pullback from two-month low.
- Bearish MACD signals, sustained break of previously key support line favor sellers.
- 21-EMA adds strength 0.9690 hurdle, 100-EMA offers immediate support.
USD/CHF remains pressured around 0.9580, after declining for the last two weeks, as it fades bounce off the 61.8% Fibonacci retracement level of April-May upside. In doing so, the Swiss currency (CHF) pair eyes to refresh the two-month low during Monday’s initial Asian session.
Not only the failures to rebound but the bearish MACD signals and successful trading below the support-turned-resistance line from late March also keep sellers hopeful.
That said, the 100-EMA level of 0.9560 appears to restrict the short-term USD/CHF downside ahead of the aforementioned key Fibonacci retracement (Fibo.) level near 0.9525.
In a case where the quote drop below 0.9525, March’s high near 0.9460 will be important to watch as a break of which won’t hesitate to direct bears towards refreshing a three-month low, currency around 0.9195.
On the contrary, recovery remains elusive until the quote stays below the confluence of the 21-EMA and the previous support line from March, around 0.9690.
It’s worth noting, however, that the 50% Fibo. near 0.9630 restricts the immediate upside of the USD/CHF pair.
Should the pair rise past 0.9690, the 0.9700 and the 38.2% Fibonacci retracement level around 0.9730 could challenge the upside momentum.
USD/CHF: Daily chart
Trend: Further downside expected
Additional important levels
|Today last price||0.9582|
|Today Daily Change||0.0001|
|Today Daily Change %||0.01%|
|Today daily open||0.9581|
|Previous Daily High||0.9633|
|Previous Daily Low||0.9522|
|Previous Weekly High||0.9713|
|Previous Weekly Low||0.9522|
|Previous Monthly High||1.0064|
|Previous Monthly Low||0.9545|
|Daily Fibonacci 38.2%||0.9564|
|Daily Fibonacci 61.8%||0.959|
|Daily Pivot Point S1||0.9524|
|Daily Pivot Point S2||0.9467|
|Daily Pivot Point S3||0.9413|
|Daily Pivot Point R1||0.9635|
|Daily Pivot Point R2||0.969|
|Daily Pivot Point R3||0.9746|
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.