USDCHF broke above today at 18 prices above the 100-bar moving average of 0.8486 on the 4-hour chart. Remember last week? This week’s high stalled right near its moving average and found willing sellers. Today’s breakout is a technical change to the upside. We also set the moving average at 0.8486 as a near support level. Holding above is more bullish.
Although this is a break, it requires additional work to show the buyer that you mean business. More specifically, the 38.2% retracement of the decline from mid-August comes to 0.8517. This is also the limit retroactive to September 18th. Prices must rise above that level for buyers to indicate an intention to raise prices.
Also contributing is the “red box” high that has largely restricted this pair since August 20th. Its level is 0.85368.
So, there is a break today and the risk is at the breakpoint at 0.8486, but there is work to be done to increase the bullish bias. However, the roadmap is clear. The question is whether buyers can sustain the upward momentum.
https://www.forexlive.com/technical-analysis/the-usdchf-is-making-a-break-to-the-upsidewell-one-break-more-work-to-do-20241002/
