Search ForexCrunch
  • USD/CHF clings to 23.6% Fibonacci retracement amid bearish MACD.
  • The rising trend-line since mid-August, 200-bar SMA limits downside.
  • The seven-day long falling trend-line restricts immediate advances.

Despite being mostly around 23.6% Fibonacci retracement of August-September upside, USD/CHF stays above key support-confluence as it trades near 0.9910 while heading into the European open on Monday.

While the bearish signal from 12-bar moving average convergence and divergence (MACD) indicate pair’s declines to 0.9880/75 area, a rising trend-line since August 13 and 200-bar simple moving average (SMA) will restrict the pair’s further declines.

Should prices refrain from respecting 0.9875 rest-point, 0.9840 and 0.9800 can entertain sellers ahead of pleasing them with September 04 low nearing 0.9775/70.

Alternatively, pair’s run-up beyond a descending trend-line since September 19, at 0.9945, holds the keys to fresh advances targeting monthly top, close to 0.9985.

USD/CHF 4-hour chart

Trend: bullish