USD/CHF Price Analysis: Range-bound at familiar levels, around 0.9220s

The USD/CHF begins the week on the right foot, though fluctuating around the familiar 0.9200-50 range, for the fifth consecutive day, trading at 0.9230 at the time of writing. The market sentiment remains mixed, though slightly downbeat, as European equities fluctuate between gainers and losers. Contrarily, across the pond, US equities are down, ahead of the 2021’s Federal Reserve last monetary policy meeting, which also added to the ongoing dampened market mood.

That said, in the overnight session, the USD/CHF jumped off the 0.9200 figure towards the 0.9250 area, as demand for US dollars increased during the Asian and early European session. As of late, the pair retreated towards the central daily pivot point at 0.9219 amid an absent economic docket from Switzerland and the US, so the Swiss franc might only be influenced by market sentiment.

USD/CHF Price Forecast: Technical outlook

The USD/CHF hourly chart depicts that the pair has a neutral bias. At the time of publication, the spot price is approaching an upslope trendline around the 0.9210-15 region, a support level that, in the case of giving way, could send the pair towards the December 9 cycle low at 0.9191. 

To the upside, the USD/CHF is firmly pressured by the 200-hour simple moving average (SMA) at 0.9220, followed by a key resistance area at the confluence of the 50-hour SMA and the 100-hour SMA at 0.9230.  Once that region gives way, it would open the door for the December 10 high at 0.9252.

On the flip side, the 0.9200 figure is the first line of defense for USD bulls. The breach of the latter exposes essential support levels, with the December 9 low at 0.9191, followed by December 3 low at 0.9165.