USD/CHF Price Analysis: Found support in an upslope trendline remains steady around 0.9160s

At the time of writing during the New York session, the USD/CHF slides, trading at 0.9159. A mixed-market mood, as portrayed by US stock indices fluctuating between gainers and losers, while the greenback gave back early gains, with its US Dollar Index grinding lower down some 0.16%, sitting at 96.06.

In the overnight session, the USD/CHF remained trading in a narrow range of 0.9170-0.9185 to react to poor US macroeconomic data, which showed that the Institute for Supply Management (ISM) Manufacturing PMI rose to 58.7, lower than the 60 estimated by analysts. 

Market participants sold the US dollar, spurring a 50-pip drop in the pair, near the S1 daily pivot point at 0.9130.

In the meantime, US Treasury yields keep advancing, with the 10-year benchmark note up some four and a half basis points, at 1.675%, failing to underpin the USD/CHF, which benefitted from safe-haven flows.

USD/CHF Price Forecast: Technical outlook

The USD/CHF has a neutral bias, depicted by the daily moving averages (DMAs) with a horizontal slope residing around the spot price. However, an upslope trendline drawn from December 2020 cycle lows to the June 2021 swing lows provided support, as the downward move pierced the aforementioned, rebounded strongly towards the 200-DMA around 0.9171.

To the upside, the first resistance would be the 200-DMA. A breach of the latter would open the door for a confluence of the 50 and the 100-DMA around 0.9205-15 area, that once broken would open the door towards the December 15 cycle high 0.9294, and then the 0.9300 figure.

On the other hand, a decisive break under the 0.9150 figure would open the door for 0.9100, followed by the November 2 swing low at 0.9085 and then the psychological 0.9000.