USDCHF corrects back to 200 hour MA after break higher earlier today

Technical Analysis

The USDCHF broke above the 200 hour MA on the USDs run higher earlier today. That move broke above its 200 hour moving average near 0.9622 (at the time of the break). It was the 1st move above the moving average since May 18.

The price has come back off over the last 5 hours or so and in the process returned to the now flattening 200 hour moving average near 0.96204. The low price just reached 0.96223, just above that level. A move back below the 200 hour moving average would disappoint the break buyers. A move back toward the 100 hour moving average at 0.9590 would be targeted. Earlier today, that moving average did hold support.

Conversely, if buyers are able to hold support against the level right here, there is room to roam on the topside given the recent move down. The high price from May 24 at 0.96688 would be the first target to get to and through. The 0.9694 – 0.9711 would be the next target, followed by the 38.2% retracement of the move down from the May 16 high at 0.97426.

Getting above the 38.2% retracement of the last move down would be the minimum target if the buyers are to start to take back more control.

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