The USDCHF moves back above the 100 day MA
The USDCHF has rebounded higher in the New York session as dollar buying is the theme. The pair bottomed today at a lower trendline (see red numbered circles). Holding that level got the ball rolling. The momentum increased after breaking a swing area at the 0.96837 to 0.96904 area (see yellow area) and the 200 hour moving average (green line currently at 0.96837).
The next major hurdle has now been broken on the move above its 100 day moving average at 0.97394, and the 61.8% retracement of the move down from the March 20 high at 0.97474.
The pair currently trades at 0.9743. Traders will want to see momentum continue with the next topside trend line at 0.97786 as the next resistance level.
Should the price moved back below its 100 day moving average, there could be disappointment on the failed break with a rotation back down toward the 0.9700 level. In addition to being a natural support level, it represents the 50% midpoint of the move down from the March 20 high.
