USD/CHF Price Analysis: Hits weekly high and drops towards 0.9510s on risk-off mood

The Swiss Franc trades with decent gains of 0.20% against the US Dollar.
The USD/CHF is range-bound around 0.9300-0.9630 due to the lack of a catalyst.
USD/CHF Price Analysis: Double bottom emerged around 0.9350, targeting a rally to 0.9800.

Christian Borjon Valencia FXStreet

The USD/CHF retraces from weekly highs reached around 0.9540s, drops toward the 0.9500 figure, due to a mixed sentiment ahead of a scheduled speech by the US Federal Reserve (Fed) Chair Jerome Powell. At the time of writing, the USD/CHF is trading at 0.9516, below its opening price by 0.23%.

USD/CHF Price Analysis: Technical outlook

The USD/CHF daily chart portrays the pair as downward biased after plummeting below the 200-day EMA. However, the USD/CHF has failed to crack below the August 22 swing low at 0.9474, exacerbating a consolidation within 0.9350-0.9600, just below the current location of the 200-day EMA at 0.9636.

Of note, the USD/CHF tested the 0.9350 price level twice, depicting a double bottom formation, which would target a rally toward 0.9800. However, to validate the pattern, the USD/CHF needs to break above 0.9650, exacerbating a rally towards 0.9700 and beyond.

Therefore, the USD/CHF first resistance would be 0.9600. Break above will expose the 200-day EMA at 0.9636, followed by the 38.2% Fibonacci retracement at 0.9659, ahead of the 0.9700 figure. Once cleared, the sellers' next line of defense would be the psychological 0.9800 figure.

USD/CHF Price Analysis: Technical outlook

USD/CHF

Overview
Today last price	0.9517
Today Daily Change	-0.0023
Today Daily Change %	-0.24
Today daily open	0.954

Trends
Daily SMA20	0.9629
Daily SMA50	0.9803
Daily SMA100	0.9719
Daily SMA200	0.9639

Levels
Previous Daily High	0.9546
Previous Daily Low	0.946
Previous Weekly High	0.9598
Previous Weekly Low	0.9388
Previous Monthly High	1.0148
Previous Monthly Low	0.9781
Daily Fibonacci 38.2%	0.9513
Daily Fibonacci 61.8%	0.9493
Daily Pivot Point S1	0.9485
Daily Pivot Point S2	0.943
Daily Pivot Point S3	0.94
Daily Pivot Point R1	0.957
Daily Pivot Point R2	0.9601
Daily Pivot Point R3	0.9656

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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