Three looks below 100 hour MA has three failures
The USDCHF ran lower in the late London morning session. Technically, the pair fell back below the 50% and the 100 bar MA on the 4-hour chart at 0.9576 level. That break, led to a push below the 200 hour MA too (at 0.9667 now).
The fall moved to the 100 hour MA and over the last 3 hours, the pair has traded above and below that MA (blue line in the chart above at 0.9647). There have been three breaks over the last 3 hours, but limited downside momentum. The weaker new home sales was the latest catalyst for the pair but momentum simply faded.
So we trade between the 200 hour MA (green line) above and the 100 hour MA below. The sellers still have more control, but they need to break that blue MA line and stay broken to give sellers more confidence.
On a break , the 200 bar MA on the 4-hour comes in at 0.9635. Trend line cuts across at 0.9626. Those are the next targets.
Meanwhile over in the US stock market, the S&P is down -5.22 points at 2446.90. The low reached 2441.42 and the high reached 2447.30. So stocks are down but trading near the session highs.
Lower stocks would help the bearish case on a flight into the safety of the CHF, but with the rebound in early trading, that is not helping the bearish case (at least for now).
