The pairs fall to a new cycle low was reversed on Clarida's comments
The USDCHF as moved back to the upside and reversed earlier declines that saw the price take out the lows from yesterday and traded to the lowest level since June 16. The low from yesterday reached 0.90226. The low today reached 0.90178.
Clarida's comments reversed that break.
The pair's rise, took the price back above the swing lows from last Friday and Monday near the 0.90386 level, and then back above its 100 hour moving average (blue line). Earlier today the price did tried to extend above the 100 hour moving average for the first time since July 26, but after one closing bar above, the price reversed and started its run back to the downside.
This time, the break was met with further momentum.
The price has now moved up to retest its 200 day moving average at 0.90731. Recall from last Friday, the price also retested that moving average line only to find sellers on the two separate tests. THis is the 3rd test. Will it be the charm that leads to a break and further momentum toward the 38.2% retracement at 0.90995 (call it 0.9100) and the falling 200 hour moving average at 0.91022 (also call it 0.9100).
Key barometer level for buyers and sellers. Be aware.
