Tuesday , October 27 2020
Home / SNB & CHF / USD/CHF Price Analysis: Depressed below monthly rising trendline, 50-day SMA

USD/CHF Price Analysis: Depressed below monthly rising trendline, 50-day SMA

Summary:
USD/CHF remains on the back foot after breaking near-term key supports, Good Friday holiday restricts the moves. Late-March lows, 61.8% Fibonacci retracement on sellers’ radars. 200-day SMA adds to the resistance beyond the latest ones. Although Good Friday’s inactive session restricts USD/CHF moves, the pair remains on the back foot around 0.9660 after breaking near-term key supports the previous day. Considering the pair’s sustained trading below 50-day SMA and a month-old rising trend line, it is expected to extend the drop towards 38.2% and 50% Fibonacci retracement of its March month upside, respectively near 0.9630 and 0.9540. It should also be noted that the March 30 low around 0.9500 and 61.8% Fibonacci retracement close to 0.9460 could please the bears

Topics:
Anil Panchal considers the following as important: , , ,

This could be interesting, too:

FINMA: News writes FINMA-Aufsichtsmitteilung 08/2020: LIBOR-Ablösung im Derivatebereich

FINMA: News writes Aktualisierte Sanktionsmeldung

Investec writes Swiss National Bank intervenes heavily to weaken Swiss franc

Swiss National Bank writes Central banks and BIS publish first central bank digital currency (CBDC) report laying out key requirements

  • USD/CHF remains on the back foot after breaking near-term key supports, Good Friday holiday restricts the moves.
  • Late-March lows, 61.8% Fibonacci retracement on sellers’ radars.
  • 200-day SMA adds to the resistance beyond the latest ones.
Although Good Friday’s inactive session restricts USD/CHF moves, the pair remains on the back foot around 0.9660 after breaking near-term key supports the previous day.

Considering the pair’s sustained trading below 50-day SMA and a month-old rising trend line, it is expected to extend the drop towards 38.2% and 50% Fibonacci retracement of its March month upside, respectively near 0.9630 and 0.9540.

It should also be noted that the March 30 low around 0.9500 and 61.8% Fibonacci retracement close to 0.9460 could please the bears below 0.9540.

Meanwhile, the pair’s ability to cross 0.9675/85 support-turned-resistance area could pull it back towards 23.6% Fibonacci retracement figure around 0.9735.

However, buyers are less likely to be called back unless the quote registers a daily closing past-200-day SMA level of 0.9805.

USD/CHF daily chart

(see more posts on USD/CHF, )
USD/CHF Price Analysis: Depressed below monthly rising trendline, 50-day SMA

- Click to enlarge

Trend: Further downside expected


Tags: ,

Leave a Reply

Your email address will not be published. Required fields are marked *