USDCHF trends lower with the dollar’s move

Technical Analysis

Range is above the average range

The USDCHF as trended lower with the dollars move lower today. The range today has been an extended 75 pips. That is 21 pips above the average trading range seen over the last 22 trading days.

For the week, last Friday the pair closed at 0.9196. The price traded to a low on Tuesday at 0.91327 and then rebounded back up to just above the closing level from Friday at 0.9197 on Thursday. That high extended above the 38.2% retracement of the move down from the September 25 high at 0.91949 and also its 200 hour moving average (green line in the chart above).

However the inability to move into positive territory for the week, and a break back below the 200 hour moving average started a move to the downside that intensified in trading today after falling below its 100 hour moving average (blue line currently at 0.91578).

It has been downhill since. The price low has reached 0.9096. It’s only 100 pips from the close from last week, but most of it was done over the last 30 or so hours of trading.

Looking at the hourly chart, the pair tests a lower trendline at the 0.9074 currently. That is providing a stall for traders at the end of the week.

Close resistance comes in at 0.9114 which is a high swing price going back to September 18 and September 21. On the downside more selling would target the September 21 low price at 0.90864 and the September 18 low price at 0.90744.

Overall a down, up, and back down week for the USDCHF this week with the pair ending the week/session with sellers more in control and prices at the lows.  

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