USD/CHF Technical Analysis: Weak below six-week-old falling trendline

USD/CHF recovers amid the recent risk reset.
200-bar SMA adds to the upside barrier, 2019 low holds the key to further declines.

Anil Panchal FXStreet

USD/CHF bounces off the intra-day low of 0.9665 to 0.9702 while heading into the European session on Wednesday. The pair benefits from the absence of immediate US-Iran war after Tehran hit US bases in Iraq.

Even so, the pair stays well below the descending trend line since November 29, at 0.9730, which limits the near-term advances.

Should the pair manages to clear 0.9730, it can rise to December 19 low near 0.9770. However, a 200-bar SMA level around 0.9830 could restrict the pair’s further advances.

In a case where the bulls dominate past-0.9830, 0.9920 and November month high of 1.0024 will be on their radars.

Meanwhile, 0.9660 and the year 2019 low near 0.9645 can limit the pair’s immediate declines, a break of which could set the tone for the pair’s fresh drop targeting 0.9600.

USD/CHF four-hour chart

Trend: Bearish

Additional important levels

Overview
Today last price	0.9702
Today Daily Change	-8 pips
Today Daily Change %	-0.08%
Today daily open	0.971

Trends
Daily SMA20	0.977
Daily SMA50	0.9858
Daily SMA100	0.9882
Daily SMA200	0.9921

Levels
Previous Daily High	0.9731
Previous Daily Low	0.9676
Previous Weekly High	0.9757
Previous Weekly Low	0.9646
Previous Monthly High	1.0009
Previous Monthly Low	0.9646
Daily Fibonacci 38.2%	0.971
Daily Fibonacci 61.8%	0.9697
Daily Pivot Point S1	0.9681
Daily Pivot Point S2	0.9651
Daily Pivot Point S3	0.9626
Daily Pivot Point R1	0.9736
Daily Pivot Point R2	0.976
Daily Pivot Point R3	0.979

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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