USDCHF stalls near cluster of swing levels and trendline
The USDCHF is having another up-and-down trading day today with the price trading above and below its near converged 100 and 200-hour moving averages (near 0. 9070).
The early US sessions saw the price moving low but was then boosted after the Bank of Canada rate hike. Momentum took the price back above the 100 and 200-hour moving averages. The last few hours has seen a consolidation near high levels from yesterday at 0.9097 and the natural resistance at 0.9100 level. The pair is also testing a downward-sloping trendline connecting recent highs on the hourly chart above. It would take a move above that area to increase the bullish bias and after looking toward the 0.9113 – 0.9119 swing area and the falling 100-day moving average just above at 0.91219.
Stay below and a rotation back toward the moving averages cannot be ruled out given the recent up-and-down price action. The market seems comfortable (for now at least) in dealing with this type of up-and-down price action as the market awaits the CPI data next Tuesday and the Fed decision on Wednesday.