USDCHF buyers are making a short term play after bouncing off support level on Fri./Monday

USDCHF buyers defended key support near 0.8965 – 0.8974 last week, leading to a price stall and a subsequent rebound. Monday’s low also held near this area before a modest upside move, reinforcing its significance as a key support zone.

Today, the pair broke above a higher swing area (0.8997 – 0.9011), with a corrective dip in the European session finding support near the lower boundary before pushing higher. The USDCHF is now trading at new session highs, approaching the falling 100-hour moving average at 0.9037.

A break above 0.9037 could provide buyers with greater confidence that a bottom is in place, shifting focus to the 200-hour moving average at 0.9068, which serves as the next key upside target.

This article was written by Greg Michalowski at www.forexlive.com.