Price moves back above the swing low floor at 0.88478 to 0.88513, with the 100 hour MA a key hurdle above...
The SNB was labeled a currency manipulator by the US. Their currency tends to be a safe haven flow. The central bank tries to stem the rise in the currency from safe haven flows that hurt their export led economy. The SNB denies the distinction.
The currency moved to the lowest level since January 2015 earlier today. Since the report was released, the price has moved higher (lower CHF). HMMMM.
Anyway, technically, the price has move back above the floor area defined over the last 4 trading days. That floor was between 0.88478 and 0.88513 (see yellow area and red numbered circles). That is now technical support once again. Stay above keeps the buyers in play. Move below and all bets are off.
The next target comes in at the 100 hour moving average. Recall from yesterday, the price found sellers near that moving average (it moved above by just a pip or 2 on 2 separate occasions). Move above that level opens the door for the next hurdles at a topside trend line and 200 hour moving average (green line at 0.88828. The trend line is just below that level). Get above those levels and the the buyers breathe a sigh of relief/sellers may look to cover.
So the news is out. The currency weakened (the USDCHF moved higher). The technicals have clearly defined support and resistance that should provide trading clues/bias.
