USDCHF peaked at 0.92776 on Tuesday. This was below the December high at 0.92937.
On Wednesday, the price fell sharply and in doing so crossed its 100-day moving average (blue line on the daily chart above) at 0.92128 and the 200-day moving average at 0.91629. Yesterday the price fell for the third day in a row and reached a swing zone on the daily chart between 0.9081 and 0.91014. The low price of the week was reached yesterday at 0.9091.
Today the price corrected higher and is currently trading at 0.9125. This brings the price back above the 50% midpoint of the 2021 trading range at 0.9144. Today’s low also respected the swing zone for the second day in a row. Looking at the green numbered circles and the lower yellow area, there is solid ground that has developed.
Drilling down on the hourly chart, the recent price high is testing Wednesday’s trading low at 0.9129. Move above that and the door opens for a retest of yesterday’s highs at 0.91479.
What would disappoint dip shoppers?
Near support would come against the January 3rd low at 0.9115. It’s also close to the 50% midpoint of the 2021 trading range at 0.91144.