USD/CHF Price Analysis: Sellers attack 0.8850 with eyes on seven-week-old horizontal support

USD/CHF sellers catch a breather after refreshing two week low.
Downside break of 21-day SMA, descending RSI line favor sellers.
50-day SMA, monthly top offer a tough nut to crack for buyers.

Anil Panchal FXStreet

Having recently dropped to the lowest since January 08, USD/CHF seesaws around 0.8850 during early Friday’s trading. The Swiss currency pair refreshed a multi-day low after breaking 21-day SMA. The downside move also takes support from receding RSI.

As a result, USD/CHF sellers seem to target a retest of the horizontal support comprising multiple levels since December 17, around 0.8820.

Although the pair’s weakness past-0.8820 becomes less likely, any further declines will not hesitate to break the 0.8800 while challenging the monthly low of 0.8857.

Alternatively, an upside clearance of 21-day SMA, at 0.8860 now, will aim for the 0.8900 round-figure ahead of challenging December’s top surrounding 0.8920.

However, a confluence of 50-day SMA and the monthly peak close to 0.8925-30 will be a strong resistance for the USD/CHF buyers to watch afterward.

USD/CHF daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	0.8849
Today Daily Change	-1 pip
Today Daily Change %	-0.01%
Today daily open	0.885

Trends
Daily SMA20	0.8861
Daily SMA50	0.893
Daily SMA100	0.9034
Daily SMA200	0.9233

Levels
Previous Daily High	0.8902
Previous Daily Low	0.8848
Previous Weekly High	0.892
Previous Weekly Low	0.8849
Previous Monthly High	0.9093
Previous Monthly Low	0.8794
Daily Fibonacci 38.2%	0.8868
Daily Fibonacci 61.8%	0.8881
Daily Pivot Point S1	0.8831
Daily Pivot Point S2	0.8813
Daily Pivot Point S3	0.8777
Daily Pivot Point R1	0.8885
Daily Pivot Point R2	0.892
Daily Pivot Point R3	0.8938

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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