USDCHF reaches its 200 hour MA and swing area target

The USDCHF fell below its 100 hour moving average, swing area and upward sloping trendline near 0.8956. That tilted the short-term bias to the downside. That momentum continued to the next key target area defined by the rising 200 hour moving average (green line on the chart above) and a swing area between 0.8914 and 0.8923. The low price just reached 0.8915, and has bounced modestly. The current price trades at 0.8922.

The sport target has held. Buyers leaned. That level can continue to hold, rotation back toward the 100 hour moving average is a possibility at 0.8956.

Conversely, if the swing area and moving average is broken, it would open the door for further selling and downside probing.

Looking at the daily chart, the buyers this week took the price of the USDCHF to a swing area target between 0.8986 and 0.90178, and stalled the rise (see chart below). Now with the price rotating to the next key support targets the question is can the buyers stall the fall and reverse the pair back to the upside?

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