USD/CHF bears retake control as prices drop back below 0.9900, around 0.9885 by the press time, as the one-week-old resistance line push back buyers during Friday’s Asian session. It should be noted that the quote bounced off the 200-SMA to tease recovery during the previous day.
Given the sluggish MACD signals and weekly resistance line, as well as the pair’s sustained trading below the 100-SMA, the Swiss currency (CHF) pair is likely to extend the latest weakness towards the 200-SMA level of 0.9865.
However, a clear downside break of the 200-SMA won’t hesitate to refresh the monthly low, currently around 0.9780.
In a case where the USD/CHF bears keep the reins past 0.9780, the 50% and 61.8% Fibonacci retracement levels of September-October upside, respectively near 0.9810 and 0.9735, could challenge the pair sellers.
Meanwhile, recovery remains elusive unless the quote breaks the weekly resistance line near 0.9910.
Following that, the support-turned-resistance line from late September and the 100-SMA, around 0.9930 and 0.9970 in that order, will be crucial to luring the USD/CHF buyers.
To sum up, USD/CHF remains on the bear’s radar unless crossing the 0.9970 hurdle.

Trend: Further downside expected
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