USD/CHF is trading in a 17 pips range today
Most currency pairs are finding it tough to break free from their shackles today and USD/CHF is proving to be one of them. There is little movement in the pair following yesterday's drop to hit 4-month lows.
And much like yesterday's trading, the same key levels highlighted then are still holding up in today's trading as well. And that so far is doing enough to limit further downside in the pair.
The 200-day MA (blue line) @ 0.9751 helped to provide a daily support yesterday as price closed above it and that level is also holding up in trading today. Meanwhile:
The 200-week MA (blue line) @ 0.9760 is also still providing additional support for the pair at the moment.
These two key levels will be keenly eyed upon as the week goes by so keep your eyes peeled for any break to the downside as that will be where the big picture bias turns bearish. There is a second line of defense below those levels from the 38.2 retracement level @ 0.9732 so if anything look out for that as well.
The next key risk event once again for dollar pairs is the US Q2 GDP reading due at 1230 GMT so until then expect markets to not get too carried away.
