The USDCHF is higher in the day,, near its high for the day and pushing against its 200-hour moving average (green line on the chart above). That moving average comes in at 0.8965. The current price is trading at 0.8962.
The last 4 hourly bars have been banging against the moving average without much success in breaking through. Having said that, the corrective moves to the downside have been limited as well.
A break above the 200-hour moving average with momentum would have traders looking toward a swing area between 0.8982 and 0.9000. You can see the importance of that level better off the 4-hour chart below (see red numbered circles). Above that sets the 200-day moving average at 0.9009 and the 38.2% retracement of the move down from the high from the end of September/early October near 0.90237.
Buyers are making a play in the USDCHF but there is work to do. Getting above the 200-hour moving average, and staying above would help to open up the upside to more probing.
This article was written by Greg Michalowski at www.forexlive.com. Source