USDCHF falls to swing area and support gives sellers some cause for pause

The USDCHF has been trending more to the downside once again after Monday’s spike took the price within a few pips of the January high. Yesterday, the price fell below both its 100 and 200 hour moving averages, stalling near the 61.8% retracement of the move up from the January 24 low at 0.90537.

Today momentum has continued with the price falling below a swing level at 0.90314, but stalling near a swing area between 0.8997 0.9011. Getting below that level would open the door for further selling with the low price from last week at 0.89654 the next target.

On the topside in the short term watch 0.90314 as resistance. If the price moves back above that level we could see rotation back toward the 61.8% retracement target at 0.90537.

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