- USD/CHF remains lacklustre around February lows, poked earlier in the week.
- Sustained trading below the key Fibonacci retracement, short-term SMA favor bears.
USD/CHF stays on the backfoot, steady around 0.8970 of late, during early Friday.
The Swiss currency pair marked the heaviest drop in two weeks the previous day but couldn’t refresh the lowest levels since February 23, challenged on Tuesday.
Even so, the quote remains below 61.8% Fibonacci retracement of January-April upside, not to forget following 12-day-old resistance line and 21-day SMA amid sluggish MACD.
Given the quote’s sustained trading below the key hurdles and downbeat MACD, USD/CHF remains directed towards a falling trend line from late March, around 0.8930. However, the quote’s further downside will have multiple supports around 0.8920 and the 0.8900 round-figure.
On the contrary, recovery moves need to cross the early month low of 0.8957 before directing them to the 0.9000 psychological magnet.
In a case where USD/CHF bulls keep reins past-0.9000 mark, a confluence of short-term resistance line and 61.8% Fibonacci retracement level near 0.9030 will be the key to follow.
USD/CHF daily chart
Trend: Bearish
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