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The USDCHF is trading to a new session high with the USD buying. The price is up 420 pips in the last 18 days of trading. Over those 18 days, the price is up 15 of the 18 days. The move has now taken the price up to a swing area between 0.95879 to 0.9625. The high reached 0.96128.
Will there be a cause for pause against the top of the area?
Drilling to the hourly chart, the USDCHF has seen more up and down price action over the last three or so trading days. However, there has been higher highs and higher lows over that period as well. The pair trades in a upward sloping channel, but price action is indeed choppy.
The USDCHF continues to trade above its lower upward sloping trendline (at 0.9580) and its 100 bar moving average (blue line at 0.9547). Since breaking above that 100 hour moving average on April 14, there has been only one dip below that moving average. That was last Thursday, and it was short-lived (buyers leaned against a trendline at the lows at day – see green numbered circles). The 100 hour moving average currently comes in at 0.9547 and rising.
It would take a move below the trendline and the 100 hour moving average levels to increase the bearish bias from the short/intermediate perspective.
On the topside on the hourly chart, the rising trendline cuts across at 0.9619. That is close to the high swing area on the daily chart which increases the areas importance. The combination could be enough to see sellers against the area, with a close stop above 0.9625.
