USD/CHF Price Analysis: Struggles around 200-DMA, six-week-old support amid Russia-led risk-aversion
24.02.2022, 07:07

USD/CHF Price Analysis: Struggles around 200-DMA, six-week-old support amid Russia-led risk-aversion

  • USD/CHF remains pressured around key support line, down for the second consecutive day.
  • Bearish MACD signal, descending RSI line favor sellers.
  • 61.8% Fibonacci retracement guards immediate upside, monthly resistance line is the key.
  • Safe-haven appeals of USD and CHF both trouble pair traders amid geopolitical fears emanating from Russia, Ukraine.

USD/CHF stays on the back foot around 0.9180 while printing the least daily moves among the Group of 10 (G10) currency pairs during early Thursday morning in Europe.

The reason could be linked to the traders’ indecision due to the risk-safe status of the US dollar and Swiss Franc (CHF) both. That said, Russia’s invasion of Ukraine recently bolstered the market’s risk-off mood.

Read: Forex Today: Flight to safety intensifies as Russia unleashes attack on Ukraine

Technically, the USD/CHF pair’s sustained trading below the 61.8% Fibonacci retracement (Fibo.) November 2021 upside joins the bearish MACD signals and downbeat RSI, not oversold, to keep sellers hopeful.

However, an upward sloping trend line from January 13, around 0.9168 at the latest, restricts the quote’s immediate declines.

Following that, 0.9140 and the 0.9100 threshold may test the pair bears before directing them to the late 2021 low near 0.9088.

Alternatively, an upside clearance of the 61.8% Fibo. level of 0.9196 will need validation from the 0.9200 round figure to direct USD/CHF buyers towards the weekly top near 0.9230.

Though, a descending resistance line from January 31 will challenge the pair bulls afterward, around 0.9240 at the latest.

USD/CHF: Daily chart

Trend: Bearish

 

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