USDCHF is more than half-way through the week and not much is resolved technically

December 04, 2024 at 11:17PM
The USD/CHF remains in a technical stalemate more than halfway through the week. Early today, the pair hit its weekly low before rebounding into a swing area between 0.8880 and 0.8894. However, the momentum faltered, and the price retreated below a cluster of moving averages (MAs) ranging from 0.8845 to 0.8853. This decline extended toward the lower swing area between 0.8816 and 0.8826, aligning with key technical levels: the 38.2% retracement of November’s range at 0.8826 and the 200-day MA at 0.8822.

Currently trading at 0.8835, the pair sits below the moving average cluster, signaling a bearish technical bias. A sustained move below the lower swing area, 38.2% retracement, and 200-day MA would confirm further downside potential. While no decisive breakout has occurred yet, the technical picture leans in favor of sellers. For now, the bears appear to hold the upper hand.

This article was written by Greg Michalowski at www.forexlive.com.