The USDCHF moved lower during Fed Chair Powell’s Q&A session, extending a decline that began earlier in the day when the pair fell back below its 100-hour moving average (blue line) at 0.80327. That drop also pushed the price under a swing area between 0.8017 and 0.80233, which in turn opened the door for a retest of the 200-hour moving average.
Recall that late Friday, the pair tumbled sharply following the U.S.–China tariff headlines, breaking below the 200-hour MA for the first time in weeks. On Monday, the market staged a brief rebound after President Trump softened some of his weekend remarks, but upside momentum faded as sellers reasserted control.
Looking ahead, the 200-hour moving average, the 50% retracement level, and the natural resistance near 0.8000 form a critical downside pivot zone. A decisive move below and sustained break through this area would strengthen the bearish bias, exposing support targets at 0.7986 followed by the broken 38.2% retracement at 0.79588.
Conversely, if buyers can once again defend this zone, it would signal another hold of key support, keeping the pair confined to its broader consolidation range.
