USD/CHF Price Analysis: Snaps two-day uptrend but sellers need validation from 0.9075

USD/CHF holds lower ground at intraday low during the first loss-making day in three.
Overbought RSI, looming bear cross on MACD triggered Swiss Franc pair’s fall.
Convergence of 100-HMA, previous resistance line challenges bears.

Anil Panchal FXStreet

USD/CHF remains pressured around the intraday low near 0.9090, despite the latest corrective bounce off the day’s low heading into Thursday’s European session. In doing so, the Swiss Franc (CHF) pair drops for the first day in three.

While tracing the catalysts for the quote’s latest weakness, the RSI (14) line’s retreat from the overbought territory and previously looming bear cross on MACD, now confirmed, gain major attention.

However, the bullish triangle breakout keeps the USD/CHF pair buyers hopeful unless the quote drops back below the one-week-old descending triangle’s top line, now immediate support near 0.9075. Adding strength to the 0.9075 support is the 100-Hour Moving Average (HMA).

Should the pair slide beneath the 0.9075 support confluence, it can quickly challenge the double bottoms marked around 0.9035-30, forming part of the aforementioned triangle.

On the contrary, the USD/CHF pair’s recovery moves need to refresh the weekly top, currently around 0.9110, to convince bulls for more upside runs, even if they hold the reins.

Even so, a one-week-old horizontal resistance area surrounding 0.9115-20 can act as the last defense of the USD/CHF pair sellers.

Overall, USD/CHF remains on the bull’s radar despite snapping a two-day winning streak.

USD/CHF: Hourly chart

Trend: Limited downside expected

Additional important levels

Overview
Today last price	0.9089
Today Daily Change	-0.0013
Today Daily Change %	-0.14%
Today daily open	0.9102

Trends
Daily SMA20	0.9031
Daily SMA50	0.8994
Daily SMA100	0.9123
Daily SMA200	0.9366

Levels
Previous Daily High	0.9107
Previous Daily Low	0.9043
Previous Weekly High	0.9148
Previous Weekly Low	0.9014
Previous Monthly High	0.9148
Previous Monthly Low	0.882
Daily Fibonacci 38.2%	0.9083
Daily Fibonacci 61.8%	0.9068
Daily Pivot Point S1	0.9061
Daily Pivot Point S2	0.902
Daily Pivot Point S3	0.8997
Daily Pivot Point R1	0.9125
Daily Pivot Point R2	0.9148
Daily Pivot Point R3	0.9189

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.

AUD/USD sticks to neutral bias above 0.7100 amid cautious markets

AUD/USD holds steady above 0.7100 in the Asian session on Monday as the US Dollar stalls its modest pullback from the highest level since late July amid persistent geopolitical uncertainties. The PBOC status quo on Loan Prime Rates also weighs on the Aussie. However, bets on another RBA rate hike continue to underpin the Australian Dollar ahead of the Trump-Xi Summit.

USD/JPY eases below 157.00 amid looming intervention risks

USD/JPY is easing back below 157.00 in Asia on Monday, undermined by modest Japanese Yen strength amid looming intervention risks after Friday's BoJ rate check. A Japanese holiday also keeps traders on edge amid escalating geopolitical tensions between Russia and Ukraine and in the Middle East. As a result, the US Dollar pauses its pullback, limiting the pair's downside.

Gold remains depressed around $4,350 amid rate jitters, modest USD strength

Gold maintains its offered tone through the first half of the European session, and currently trades around $4,350, down over 0.50% for the day. The commodity, however, holds comfortably above a six-week low, touched last Wednesday as traders await further developments around the Middle East crisis and their implications for inflation. This, in turn, would influence interest rate expectations and, in turn, drive the non-yielding bullion.

Bitcoin hits $85,000 for the first time in eight months

Bitcoin price reclaims $85,000 on Monday, advancing last week’s 5% recovery toward an eight-month high. The recovery in King Crypto aligns with renewed institutional demand, with Exchange Traded Funds (ETFs) recording $433 million in inflows on Friday.

The week ahead: Fuel prices in focus as we lead up to key eco releases

Financial markets are in a strange position as we move to the final weeks of Q3, uncertainty and volatility continue to grip markets, but the oil price is falling; and European and US stocks are poised to open higher later on Monday. Market stresses are concentrated in sovereign bonds, and European and US yields had another scare late on Friday, and moved higher.

BoJ Recap: Not as hawkish as expected

The Bank of Japan (BoJ) raised its short-term interest-rate target to 1.25% from 1.00% in a 7-2 vote, marking another step in the normalisation of monetary policy and widely matching what everyone has been expecting for weeks.