USDCHF tested the 100 day MA at highs. Looks toward the 200 day MA now.

The USDCHF fell to its lowest level since December 12 yesterday before rebounding into the close. In today’s Asian session, buyers attempted to push higher but faced resistance near the 100-day moving average (0.89246), with the high reaching 0.89252 before reversing lower.

The downward move has been trend-like, with only modest corrective bounces. During the late European session, the pair broke below yesterday’s low of 0.8855, extending losses to a new low of 0.88318.

On the downside, the pair is approaching the 200-day moving average (0.88204), which serves as a critical support level, just as the 100-day MA acted as resistance earlier. For buyers, this level presents a potential low-risk entry point for a rebound. For sellers, a confirmed break below the 200-day MA, with sustained momentum, would reinforce a more bearish outlook.

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