USDCHF trades to new session highs

Price at highest level in 3 months. Breaks above a topside trend line

Price at highest level in 3 months. Breaks above a topside trend line_
The price of USDCHF has moved to a new session high and the highest level since November 25, 2020. The move to the upside has also taken the price above a topside trend line at 0.9074. The high price reached 0.90941. The price currently trades at 0.90877. Close risk is the broken trend line at 0.9074. Other risk area on the daily chart comes in at 0.90312 to 0.90495. For buyers looking for more upside, using that area as risk now is appropriate. Stay above is more bullish. 

The next target on the daily chart is the 200 day moving average at 0.91475. The price has not close above its 200 day moving average since March 2020.

Drilling all the way down to the 5 minutes chart, the corrective lows today did fine support against its 200 bar moving average (green line in the chart below). There were 2 tests of that line, and both times buyers leaned against the level and push the price higher.

Going forward both the 100 bar moving average at 0.90751, and the 200 bar moving average at 0.90675 would represent close risk level for intraday traders. Stay above and the bias remains firmly in the buyers favor. Move below and the story/ changes in the short-term more to the downside.

USDCHF on the 5 minutes chart

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Categorized as Forex

By Jonathan Prop

Jonathan Prop is an independent financial advisor. He has been working in finance for the last 20 years. After retiring early in his 40s, Jonathan decided to help others get to grip with financial markets, particularly his area of expertise - forex!

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