USD/CHF Takes a Break

USD/CHF has been depreciating since it reached a double top last month at 1.0050. The pair had to take a few days of consolidation before breaking to the downside and confirming the double top.

The pair closed the week hovering around the 50SMA at 0.9860. A rapid pullback was registered on Friday afternoon European time and the pair jumped from 0.9790 to 0.9890. After that buying pressure eased a bit and the pair traded with normal volumes again.

If the downtrend continues we can expect the pair to reach the 200SMA which falls at 0.9714 and see if bulls try to take over at that buying opportunity.

Chart: USD/CHF D1