USDCHF moves back below MA support tilting the bias back to the downside

The USDCHF moved higher yesterday, and in the process moved about politics 100 and 200 hour moving averages.

In trading today, the Asian session saw narrow trading, but the prices stayed above the moving average support near 0.9041. However, for gave way in the European session, and after a retest of the near convergent moving averages, the selling has intensified with a parent reaching down to new lows for the day.

The next target area comes between 0.8998 and 0.9005. The rising 100 bar moving average on the 4-hour chart is also near that level at 0.8998. That level represents the low of the two-week trading range which has seen the price trade up and down within a 97 pip trading range. Can the sellers keep the momentum to the downside? Can they break outside the range and stay below?

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