Squeaks out a new day high...
The USDCHF has squeaked out a new day high and completed a lap that saw the pair first move sharply lower and then back higher.
The initial move was to the downside as stocks got hit. Manufacturing PMI in Switzerland came in better than expected (52.1 vs 50.2) but that did not will help the CHF and the price started to rebound off lows at 0.9923. A consolidation area - mostly above the 50% of the days range - eventually saw the sellers give up and extend the move higher. The pair has now stalled over the last 50 minutes against the Asia-Pacific highs.
Looking at the hourly chart there is also other overhead resistance against the highs from Dec 4 and Dec 7. Those highs came in at 1.0033 and 1.0030 respectively. The high today has reached 1.0026. Sellers at the highs today likely have stops on a move above the 1.0033 area. The 1.0056 is the 50% of the move down from the Nov 27th peak.
With the price near a key resistance, but the price still near the highs for the day, the sellers who have dipped their toe in the water against the key resistance would want to see a move back below the 1.1000 level (and stay below). The Friday 2 PM close (year end) was at 1.0995. If the sellers are to take back control in this up and down day, a move below that area will be eyed and give those sellers further downside confidence (look for the price to move back toward the days midpoint at 0.9974).
