USD/CHF Price Analysis: Looks to Fed minutes for clear direction below 0.9000

• USD/CHF edges higher within weekly symmetrical triangle, mildly bid for third consecutive day.
• Firmer RSI suggests upside break of immediate triangle but five-week-old resistance line, 200-SMA will test Swiss pair buyers.
• Multiple levels to challenge bears before directing them to YTD low marked in June.

USD/CHF retreats from intraday high but defends a three-day winning streak around 0.8970 heading into Wednesday’s European session. In doing so, the Swiss Franc (CHF) eases from a one-week-old symmetrical triangle.

That said, the gradually improving RSI (14) line and the higher low formation suggest the USD/CHF pair’s likely break of the immediate triangle towards the north, which in turn will direct prices toward a downward-sloping resistance line from May 31, around the 0.9000 threshold.

In a case where the quote crosses the 0.9000 hurdle, the 200-SMA level surrounding 0.9010 and Friday’s top near 0.9020 will act as the final defense of the bears before directing the prices toward the previous monthly high of near 0.9120.

Meanwhile, the stated triangle’s bottom line restricts immediate downside near 0.8950 ahead of an ascending support line stretched from mid-June, close to 0.8925 by the press time.

Even if the quote breaks the 0.8925 support, June’s low surrounding the 0.8900 round figure and 0.8850 may prod the USD/CHF bears ahead of highlighting the Year-To-Date low of 0.8820.

Overall, USD/CHF is likely to remain sidelined even if a short-term upside is expected. Even so, today’s Federal Open Market Committee (FOMC) Minutes for the June meeting will be crucial to watch for clear directions.

Also read: USD/CHF oscillates in a range below 50-day SMA, focus remains on FOMC meeting minutes

USD/CHF: Four-hour chart

Trend: Limited upside expected