USD/CHF Price Analysis: Recovery approaches support-turned-resistance around 0.9080
|- USD/CHF picks up bids to extend the previous day’s rebound from 22-month low.
- Upside break of weekly resistance line, looming bull cross on MACD favor Swiss Franc sellers.
- Two-month-old previous support line appears crucial for USD/CHF bulls; 100-SMA acts as the last defense of bears.
USD/CHF lures buyers around 0.9075 as it pierces a downward-sloping resistance line from Monday amid early Thursday in Europe. In doing so, the Swiss Franc (CHF) pair extends the previous day’s recovery moves from the lowest levels since June 2021 amid a sluggish session.
That said, a clear upside break of the immediate resistance line joins an impending bull cross on the MACD to lure USD/CHF buyers. However, the previous support line from early February, around 0.9080 by the press time, challenges the quote’s recovery.
Should the USD/CHF pair remains firmer past 0.9080, a one-month-old resistance line, around 0.9155, precedes the 100-SMA level of around 0.9190 to act as the last defense of the pair sellers.
In a case where the quote rises past 0.9190, and also crosses the 0.9200 round figure, it can aim for the mid-March high of 0.9342.
Meanwhile, the immediate resistance-turned-support line near 0.9070 restricts the immediate downside of the USD/CHF price ahead of the latest bottom surrounding 0.9005. Also acting as a downside filter is the 0.9000 psychological magnet, a break of which could drag the pair toward June 2021 low surrounding 0.8925.
Overall, USD/CHF is likely to consolidate recent losses near the multi-month low but the bullish trend is far from sight.
USD/CHF: Four-hour chart
Trend: Further recovery expected
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