Forex technical analysis: USDCHF tests key resistance at 100 hour MA/50% retracement

Technical Analysis

Author: Greg Michalowski | usdchf

Key technical area being tested

The CHF is the weakest currency of the majors today, and that has the USDCHF moving to the upside. 

Technically, the price failed on it's break of it's 200 hour MA (green line in the chart above) in the Asian Pacific session. The move back above that MA line triggered buying. That buying momentum has taken the price right up to the 100 hour MA at 0.94807. The high price reached 0.94798.

Also in the area is the 50% of the move down from last week's high. That midpoint comes in at 0.94783.

The market is taking a breather at the level (profit taking).  I would not be surprised to see traders leaning against the level with stops on a break above. 

Meanwhile, the EURUSD is testing its next target at the 200 hour MA at 1.23508. The 100 hour MA and 38.2% are at 1.23385. The trend line is at 1.2332.

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