The USDCHF has moved lower in the early US trading session and has moved below its 100-hour moving average at 0.8503 and it 200-hour moving average 0.8479. Getting below those moving averages is a more bearish play. The next targets, come at the low from Friday and the high from December 28 between 0.8450 and 0.8455. Moving below that area opens up the downside for even more selling momentum.
Earlier today, the highs for the day stalled near the 38.2% of the move down from the December high. That helped to keep the sellers more in control and set up the subsequent downside breaks of the MAs.
It would now take a move back above the 200-hour moving average to neutralize the technical bias. A move back above the 100-hour moving average would increase the buyer’s bias.
This article was written by Greg Michalowski at www.forexlive.com. Source