Forex Technical Update
USD/CHF Daily Chart 9/11/2012 9:25APM EDT
USD/CHF continues to dig lower as the USD is softening across the board ahead of Thursday's (9/13) Fed policy meeting. The 1H chart shows the USD/CHF breaking lower, out of a descending triangle. The momentum in this time-frame remains bearish according to the RSI and the moving averages are in bearish alignment. As you see in the daily chart below, this bearish attempt is testing/cracking key support at the 0.9420 level.
The daily chart also shows that at the 0.94 handle, there is a also the 200-day SMA a commonly used moving average especially in the daily and weekly charts. If the USD/CHF extends below 0.94 in the declining channel seen in the daily chart time-frame, the focus will be on the 0.93 level, where price is likely to test a rising trendline going back to the 0.8930 2012-low from 2/27.
USD/CHF Daily Chart 9/11/2012 9:28APM EDT
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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