#USDCHF @ 0.89893 remains depressed at the lowest levels in 13 days., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• USD/CHF remains depressed at the lowest levels in 13 days.
• Clear downside break of one-month-old ascending trend line, the first bearish MACD signal in many days favor Swiss Franc buyers.
• Recovery moves need validation from 100-DMA, RSI suggests continuation of downtrend.

The pair currently trades last at 0.89893.

The previous day high was 0.9108 while the previous day low was 0.899. The daily 38.2% Fib levels comes at 0.9035, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9063, expected to provide resistance.

USD/CHF bears take a breather at the lowest level in a fortnight, making rounds to 0.8990 heading into Friday’s European session. In doing so, the Swiss Franc (CHF) pair jostles with the 50-DMA support to extend the previous day’s fall, the biggest in seven months.

It should be noted that the major currency pair’s clear downside break of a one-month-old ascending support line triggered the quote’s major fall on Thursday.

That said, the quote’s latest inaction fails to push back the USD/CHF bears amid the MACD indicator’s first bearish signal since late April, as well as amid the steady RSI (14) line.

Hence, the sellers are to stay on the way to the multi-month low marked in May around 0.8820 even if the 50-DMA support of 0.8988 prods the south-run of late. With this, the Swiss Franc pair sellers may aim for the 0.8800 round figure.

Alternatively, an upside break of the previous support line stretched from early May, around 0.9085, isn’t an open invitation to the USD/CHF bulls.

The reason could be linked to the pair’s U-turn from the 100-DMA and 50% Fibonacci retracement of the March-May fall, respectively near 0.9120 and 0.9135.

Trend: Further downside expected

Technical Levels: Supports and Resistances

USDCHF currently trading at 0.8992 at the time of writing. Pair opened at 0.8991 and is trading with a change of 0.01% % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 0.9034, 50 SMA 0.8992, 100 SMA @ 0.9121 and 200 SMA @ 0.9362.

The previous day high was 0.9108 while the previous day low was 0.899. The daily 38.2% Fib levels comes at 0.9035, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9063, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.8951, 0.8912, 0.8833
• Pivot resistance is noted at 0.9069, 0.9147, 0.9187

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