USD/CHF Price Analysis: Corrective pullback eyes 0.9150 but bears keep reins
- USD/CHF takes the bids to refresh intraday high, bounces off one-week low.
- Oscillators and bear cross favor sellers, fortnight-old descending trend line, key DMAs restrict short-term recovery.
- 78.6% Fibonacci retracement level limits immediate downside.
USD/CHF consolidates recent losses around a one-week low, picking up bids to refresh daily high near 0.9138 amid early Monday morning in Europe.
Even so, bear cross of the 50-DMA to the 100-DMA joins downbeat MACD and Momentum to keep sellers hopeful.
That said, a descending resistance line from January 10, around 0.9165-70, restricts the immediate rebound of the pair ahead of the latest swing high near 0.9180.
Even if the USD/CHF buyers manage to cross the 0.9180 resistance, the stated key DMAs will challenge the pair’s further advances near 0.9210-15.
It’s worth noting that the 61.8% and 50% Fibonacci retracements (Fibo.) of August-November 2021 upside, respectively near 0.9155 and 0.9200, act as additional filters to the north.
On the contrary, the 78.6% Fibo. level near 0.9090 acts as strong support to watch during the quote’s fresh declines.
Should the USD/CHF prices remain weaker past 0.9090, the pair becomes vulnerable to drop towards August 2021 swing low near 0.9020.
USD/CHF: Daily chart
Trend: Bearish