USD/CHF has climbed back above its hourly moving averages, giving buyers a more bullish bias after a flat session a day earlier. The pair trades near 0.83291, with the 200-hour and 100-hour averages now acting as support and last week's high as the next target.
USD/CHF is showing signs of life after a near-flatlined session. The pair now trades above both its 100-hour and 200-hour moving averages, near 0.83291, a shift that hands buyers a more bullish near-term bias. Yesterday, the two moving averages had converged as the pair stalled, leaving the recovery without a clear direction.
The averages mark the battle lines
Buyers now have a defined area to protect. The 200-hour moving average sits at 0.83181, the first support on any pullback, with the 100-hour average at 0.83082 as the lower boundary buyers need to hold. Staying above both keeps the near-term advantage with buyers, and a dip toward the averages isn't a problem as long as buyers defend it and push higher again.
Getting above a moving average and building a trend are different things, however. Buyers have cleared the first hurdle, but they still need follow-through to confirm the recovery has strength rather than just a pulse.
What comes next for buyers and sellers
If buyers can turn that support into further upside, last week's high at 0.83837 becomes the next target — though reaching it wouldn't automatically confirm another leg higher without a sustained move beyond it.
A break below the 200-hour average would be the first sign sellers are regaining control, pushing the test down to the 100-hour average. Should both give way, the next downside areas sit at 0.82636 to 0.82740, and then 0.82250 if the decline extends further.
For now, the setup gives traders a clear reference point. Stay above 0.83181 and 0.83082 and buyers retain the advantage toward 0.83837; lose both, and sellers get another shot toward the lower swing areas.
Source: Investinglive
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