The USDCHF is sharply higher on the day helped by a run up in the EURCHF as well.
From a technical perspective, the price was able to move above its 100 bar MA on the 4-hour chart (blue line currently at 0.9278) and continue the upside journey after basing against that MA. The run higher stalled as the price approached the 200 bar MA on the same chart (see green line on the chart). That MA is joined by the 38.2% of the move down from the November 21 high increasing the levels importance. Both the MA and the 38.2% come in at 0.93313.
The price has rotated back lower and trades at 0.9311 currently. That is near the bottom of a swing area between 0.9311 and 0.9325. Move below and stay below 0.9311 should give the sellers against the upper targets more confidence.
With the CPI due out tomorrow, the 100 bar MA at 0.9278 and the 200 bar MA/38.2% retracement at 0.93313 would be the barometers for more bullish/bearish on a surprise one way or another. Having the price in between makes sense from that perspective ahead of the key release. Let the data tell the technical story, much like the Fed wants to make the data tell the fundamental story for policy in 2023.
