Sharp gains being retraced
The USDCHF is retracing some of the gains seen in the London session. The run up took the price for the pair up toward the 100 day MA at the 0.9756 level (the high reached 0.97509). The price has moved back around 38.2% of the move up from the low from yesterday. That level comes in at 0.9708. The 200 hour MA is at 0.97135 currently. Further down is the 100 hour MA and the 50% of the move up at the 0.9695/96 area. That level SHOULD find support buyers on a test.
The EURCHF which also rose sharply today, is already bouncing and trades near the highs for the day. The EURUSD is certainly helping the pair as it marches higher (talk of less fines for DB from the US dept of justice is helping the EURUSD recover it seems). The EURCHF has moved above the 200 hour MA at the 1.0888. The high for the day comes in at 1.0898 Further above is the 100 day MA at the 1.09107. That level should put up some resistance on a test.
So in the USDCHF / EURCHF complex, we are seeing different moves as one is following the EUR strength and one is following the USD weakness.
