USDCHF test the low close going back to 2018

Technical Analysis

Lows close going back to 2018 was at 0.92176. The low today reached 0.92184.

The USDCHF this week peaked on Monday at 0.94093. That that high was just below the 200 hour moving average at 0.9411. Sellers leaned against that level and it took until Tuesday to break below a floor area between 0.93618 and 0.93701 (see yellow area) to get the ball rolling more to the downside.

Each day this week has moved lower. The close from yesterday came in at 0.9252. That was just above the low closing price for the year (2020) at 0.9250.

Today the price did trade briefly higher to a high of 0.92598, but over the last 8 or so hours has moved back to the downside. In the process the price has traded to the lowest level going back to March 9. The low for the day reached 0.92184. 

For your guide the lowest close going back to 2018 comes in at 0.92176. Like yesterday when the price tested the 2020 year low close, today’s low came just above the low close from 2018. Buyers are trying to lean against the 2018 low close like they tried to lean against the 2020 low yesterday. 

A break below that level would open the door for a retest of the March 2020 low of 0.91747.

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