USDCHF looks to test year high (and highest level since July 2020)

Technical Analysis

The 2021 high is at 0.93747

The USDCHF moved has continued the trend move from yesterday although there is some choppy price action as the pair approaches key upside target at the 2021 high. That high came in on March 9 at 0.93747. The high price reached 0.9369 so far today. The high for 2021 is the highest level since July 2020.  A move above would be more bullish. 

Looking at the 4 hour chart above, the low for the week stalled just ahead of the low from last week. The low this week reached 0.92209. The low from last week reached 0.92127.  That move lower on Monday and into early Tuesday, saw the price move below the 100 bar MA on the 4-hour chart . Last week that MA stalled the fall (see blue line).  The inability to stay below that MA, however (and not getting to last week’s lows), turned seller into buyers and the price raced higher yesterday.  

That move also moved back above a swing area at 0.9318 to 0.93244. That area is now a risk/bias defining level. Stay above is more bullish. 

Taking a broader look at the daily chart, the pair yesterday moved back above the 50 percent midpoint of the move down from the March 2020 high. That level comes in at 0.93281.  That is above the swing area on the hourly but will certainly add to the support for the pair in the short term.  

Finally, a look at the 5-minute chart is providing some intraday technical clues as well.  As mention the price is traded higher yesterday and today is higher but more up and down. The down for the day the retest the rising 200 bar moving average on the five minute charts and found support buyers (see green line).  The 100 bar is the blue line on the chart below). If the price moves back below each, we should see more downside probing after the sharp move higher.  The 200 bar moving average currently comes in at 0.93484.  A break below, could see traders start to target the 0.9328 level on the daily and the swing area on the 4-hour chart at 0.9318 to 0.93244. 

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