USD/CHF Price Analysis: Recovers from 50-day SMA to snap five-day downtrend

USD/CHF wavers in a choppy range around 0.8900.
MACD turns bearish but strong RSI and 50-day SMA probe sellers.
Previous support line from January 06 adds to the upside barrier.

Anil Panchal FXStreet

USD/CHF eases to 0.8903 while fading the early Asia recovery moves ahead of the European session on Friday. Even so, the quote remains inside the 20-pip range established since Wednesday.

While strong RSI conditions favor the quote’s latest bounce off 50-day SMA, the recovery moves will have a bumpy road considering the previous support and bearish MACD.

Hence, USD/CHF buyers may remain worried unless breaking the immediate resistance line, at 0.8938 now, following that the 0.8985 and the 0.9000 will challenge the further advances.

It should also be noted that the pair’s sustained run-up past-0.9000 threshold needs to cross the monthly high of 0.9045 to restore the bulls’ conviction.

Alternatively, a daily closing below the 50-day SMA level of 0.8887 will target the late January low near 0.8840 before directing the USD/CHF sellers towards the previous month’s low of 0.8757.

Overall, USD/CHF is likely to witness further consolidation of the latest losses before recalling the bears.

USD/CHF daily chart

Trend: Further recovery expected

Additional important levels

Overview
Today last price	0.8904
Today Daily Change	5 pips
Today Daily Change %	0.06%
Today daily open	0.8899

Trends
Daily SMA20	0.8921
Daily SMA50	0.8887
Daily SMA100	0.9003
Daily SMA200	0.9175

Levels
Previous Daily High	0.891
Previous Daily Low	0.8892
Previous Weekly High	0.9046
Previous Weekly Low	0.8901
Previous Monthly High	0.8926
Previous Monthly Low	0.8758
Daily Fibonacci 38.2%	0.8899
Daily Fibonacci 61.8%	0.8904
Daily Pivot Point S1	0.8891
Daily Pivot Point S2	0.8882
Daily Pivot Point S3	0.8873
Daily Pivot Point R1	0.8909
Daily Pivot Point R2	0.8919
Daily Pivot Point R3	0.8927

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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