USDCHF rebounds toward 200 hour MA
In the morning video report, the USDCHF was trading between the 100 and 200 hour MAs (blue and green lines – see VIDEO here).
The USD moved lower and so did the USDCHF. That took the price below the lower 200 hour MA and that momentum fell below a swing area near 0.9533 to 0.9537.
However, momentem stalled with the stock market s peak, and the price started to move back higher.
Now the pair is back up retesting the 200 hour MA and finding some trader lean against the MA level. That is not all that surprising. If the sellers are to stay in control, that level is one of the barometers that if held, would keep the sellers in control.
In contrast, if broken, the sellers may look to cover with the 100 hour MA above (blue line) at 0.95854 as the next target.
So key resistance being tested Can the seller keep a lid on the pair against the level or is the low in place and a further rotaion higher the path of least resistance?. What we know is risk can be defined and limited against the levels.