USD/CHF Price Analysis: Posts slight gains despite bullish hurdles; faces resistance at 0.8980

USD/CHF records minor gains and struggles to rally past 0.8980 due to weak buying momentum.
Technical indicators point towards a neutral to downward bias, with immediate support at a May 22 low of 0.8940.
RSI and three-day Rate of Change indicate downward bias; a fall below 0.8940 could lead to further losses.

Christian Borjon Valencia FXStreet

USD/CHF registers minuscule gains as the Asian session begins after printing back-to-back bullish days, though it failed to cement a rally past the 0.8980 area. On Monday, the USD/CHF printed a weekly high at 0.8975 but closed the session at around 0.8950. At the time of writing, the USD/CHF exchanges hands at 0.8957.

USD/CHF Price Analysis: Technical outlook

From a technical perspective, the USD/CHF is neutral to downward biased, as it stands below the daily Exponential Moving Averages (EMAs). The downtrend shows signs of losing steam, though price action in the last couple of days left two candlesticks with larger wicks above the natural body. This signifies that buyers did not have the strength to hold prices higher, opening the door for further losses.

The USD/CHF first support would be the May 22 low at 0.8940. Break below, and the USD/CHF would dive toward the June 16 daily low at 0.8902 before cracking 0.8900. A breach of the latter will expose the YTD low of 0.8819. Conversely, USD/CHF's immediate resistance lies at 0.8980, June 9 low, before testing 0.9000.

Oscillators-wise, the Relative Strength Index (RSI) indicator portrays the pair as downward biased, though the three-day Rate of Change depicts buyers who stepped in but failed to break the previous peak.

USD/CHF Price Action – Daily chart

USD/CHF

Overview
Today last price	0.8961
Today Daily Change	0.0021
Today Daily Change %	0.23
Today daily open	0.894

Trends
Daily SMA20	0.9039
Daily SMA50	0.8983
Daily SMA100	0.9109
Daily SMA200	0.9339

Levels
Previous Daily High	0.895
Previous Daily Low	0.8902
Previous Weekly High	0.9109
Previous Weekly Low	0.8902
Previous Monthly High	0.9148
Previous Monthly Low	0.882
Daily Fibonacci 38.2%	0.8931
Daily Fibonacci 61.8%	0.892
Daily Pivot Point S1	0.8911
Daily Pivot Point S2	0.8882
Daily Pivot Point S3	0.8863
Daily Pivot Point R1	0.8959
Daily Pivot Point R2	0.8978
Daily Pivot Point R3	0.9007

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

EUR/USD flirts with weekly lows near 1.1770

EUR/USD now comes under further selling pressure, breaking below the 1.1800 support to challenge the area of weekly throughs near 1.1770 on Thursday. The pair’s decline comes in response to marked gains in the US Dollar amid steady geopolitical tensions. Ealier in the day, the ECB’s Lagarde delivered cautious remarks, although the currency remained apathetic.

GBP/USD threatens the 200-day SMA near 1.3440

GBP/USD rapidly leaves behind Wednesday’s strong advance, coming under heavy pressure and retesting the 1.3440 zone, where the critical 200-day SMA is located. Cable’s deep pullback follows the strong gains in the Greenback, while investors continue to pencil in a potential BoE rate cut in March.

Gold trims gains, slips back to around $5,170

Gold is now facing some downside pressure, hovering around the $5,170 region on Thursday. The yellow metal surrenders part of its earlier gains on the back of the resurgence of the buying interest in the Greenback. In the meantime, geopolitical tensions in the Middle East continue to limit the downside potential for now.