Home USD/CHF technical analysis: 200-DMA, 50% Fibo. restrict immediate upside
FXStreet News

USD/CHF technical analysis: 200-DMA, 50% Fibo. restrict immediate upside

  • USD/CHF follows a four-week-old rising trend-channel.
  • 0.9950 resistance confluence holds the key for a run-up to channel’s upper-line.

USD/CHF again attempts to conquer 200-day simple moving average (DMA) as it takes the bids to 0.9940 ahead of Thursday’s European session open.

Increasing the strength of the resistance is 50% Fibonacci retracement of April-August declines, at 0.9950, a break of which will escalate the pair’s rise towards channel’s resistance-line, at 0.9980 now.

In a case bulls refrain from respecting 0.9980, the 1.000 psychological magnet and 61.8% Fibonacci retracement level of 1.00165 will be on their radars.

On the contrary, 38.2% Fibonacci retracement level of 0.9880 could restrict the pair’s near-term declines, a break of which could highlight 50-DMA level of 0.9845 and channel’s lower-line, at 0.9820.

If at all 0.9820 falls short of pulling the pair up, 23.6% Fibonacci retracement level near 0.9800 and late-August bottom surrounding 0.9715 could lure bears.

USD/CHF daily chart

Trend: pullback expected

 

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.