USDCHF is on a sideways move within a symmetrical triangle over the last month, pausing the strong upside tendency that started after the pullback off the 0.9185 support. Currently, the price is testing the 40-period simple moving average (SMA) and the lower surface of the Ichimoku cloud in the 4-hour chart.
From a technical viewpoint, the RSI is flirting with the neutral threshold of 50, while the MACD jumped above the trigger line but is still developing with weak momentum. Both are suggesting a sideways move in the near term for the next sessions.
To the downside, immediate support could come from the 38.2% Fibonacci retracement level of the down leg from 0.9900 to 0.9185 at 0.9625 before hitting the 0.9590 support, slightly below the ascending trend line. Breaking this level, the next hurdle could come from the 50.0% Fibonacci of 0.9540.
On the other hand, a climb above the Ichimoku cloud and the descending line could find strong resistance at the 23.6% Fibonacci of 0.9730 and the 0.9740 barrier. A clear close above these lines could turn the focus on the 0.9800 psychological mark.
Overall, the market has been in a neutral mode since March 20, failing to continue the upside trend that started on March 9.
