USDCHF Up 3 Pips Over Past Hour, Crosses 50 Day Moving Average; Price Base in Formation Over Past 14 Days

Hourly Update

(Last Updated September 24, 2020 0:13 GMT)

At the time of this writing, USDCHF’s rate is up 3 pips (0.03%) from the hour prior. This move is a reversal from the hour prior, which saw price move down. Regarding the trend, note that the strongest trend exists on the 50 hour timeframe. The moving averages on the hourly timeframe suggest a bearishness in price, as the 20, 50, 100 and 200 are all in a bearish alignment — meaning the shorter duration moving averages are below the longer duration averages, implying a stable downward trend.

USDCHF End of Day Recap

Updated 00:30 GMT (04:30 EST)

USDCHF is up 52 pips (0.57%) since the previous day (opening today near 0.91973), marking the 3rd straight day it has gone up. Compared to its peers in the Forex, USDCHF gave its buyers a return that ranked 6th in terms of percentage change since the previous day. Below is a price chart of USDCHF.

USDCHF

USDCHF Technical Analysis

Moving average crossovers are always interesting, so let’s start there: USDCHF crossed above its 50 day moving average yesterday. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving down. Also of note is that on a 14 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. For additional context, note that price has gone down 6 out of the past 10 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on USDCHF, with 25 buy signals on our radar and 19 sell signals. This imputes a buy/sell ratio of 1.32, which is bullish. As for the rationale, technical traders seem to be citing the appearance of channel and relative strength index technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

There is a possibility of temporary retracement to suggested support line (0.9186)….Take Profits: TP1= @ 0.9251TP2= @ 0.9360TP3= @ 0.9465TP4= @ 0.9550TP5= @ 0.9900SL= Break below S3—————————————————————————————————————- Short-Term Forecast: Trading suggestion: “….There is a possibility of temporary retracement to suggested support line (0.9186).


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram