FxNews—USD/CHF trades in a bull market shifted above the 100-period simple moving average and the 0.885 immediate resistance in today’s trading session.
As of this writing, the currency pair is trading at approximately 0.885, resuming its bullish trajectory.
USDCHF Technical Analysis
As for the technical indicators, the Awesome Oscillator histogram is nearing zero from below with green bars, meaning the bull market is strengthening. However, the Stochastic Oscillator is depicting 77 and rising, meaning the U.S. dollar could soon become overpriced against the Swiss Franc.
Overall, the technical indicators suggest the USD/CHF primary trend is bullish and should resume toward upper resistance levels after a minor consolidation.
USDCHF Bull Market Prevails: Next Target 0.890?
The trend outlook remains bullish, with USD/CHF prices above the 50% Fibonacci retracement level, the 0.880 mark. In this scenario, the next target could be the 61.8% Fibonacci resistance level at 0.885. Furthermore, if the buying pressure exceeds 0.885, the prices could peak at the November high at 0.895.
Bearish Scenario
Please note that the bull market should be invalidated if prices dip below 0.880. If this scenario unfolds, the downtrend from 0.895 could extend to 0.877, followed by the 38.2% Fibonacci support level at 0.870.