Technical Analysis


The parity level remains a key area to get and stay below

The USDCHF on the hourly chart has been choppy.

However, the price decline stallled at a lower trend line on the hourly and near swing lows from May 3rd.    The dollar buying in the NY afternoon also got hold of the USDCHF and it retraced the moved decline.   The price moved back to parity.

Today, the pair chopped higher to the test the 1.0038-42 area where there have been a number of swing highs (see blue circles). Like at the lows yesterday, the sellers entered against the level and the price has moved lower.  The price moved back below the 100 and 200 hour MA and is now retesting the parity area.  A move below (and staying below) is needed to keep the sellers in charge.  

The 200 and 100 hour MAs are now close risk.

This is the picture of the daily chart. The high today was near the high from October and November at 1.0037 (the high reached 1.0041).  The 0.9977 is the swing high from December. If the price can get and stay below the parity area, that level will be the next target to get and stay below. The low from Friday stalled near that level (yesterday it failed on the break below).



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