USD/CHF Up 141 Pips, Crosses 20 Day Moving Average; in a Downtrend Over Past 30 Days

USD/CHF Price Recap

The choppiness in the recent daily price action of USD/CHF continues; to start today, it comes in at a price of 0.96082 US dollars, up 141 pips (1.49%) since yesterday. This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 20.72% from the day before — and down 25.33% from the same day the week before. Out of the 40 instruments in the Forex asset class, USD/CHF ended up ranking 5th for the day in terms of day-over-day price change. Let’s take a look at price chart of USD/CHF.

USD/CHF Technical Analysis

First things first: USD/CHF crossed above its 20 day moving average yesterday. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving down. For additional context, note that price has gone down 9 out of the past 14 days. We’re also seeing a bullish engulfing pattern here, and given the downtrend on the 30 and 90 day

The View From Around the Web

Of note is that traders in aggregate have opinions on USDCHF, with 14 buy signals on our radar and 21 sell signals. This imputes a buy/sell ratio of 0.67, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Hi pros!…as we can see the bear flag formed for some days, price break down and pullback to it….With the fact that this is the potential best opportunity to enter to enjoy the trade of the bear flag, we also have a confirmation : the confluence of resistancebased on : trendline, 0.618 fib and structure results: high probability to win R:R is decent for the first TP and high for the second tps Aiming for the levels drawn in the charts and final target is blue box which is 0.888 fib of the all retracement move.