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USD/CHF took a pause before new attack

FXStreet (Moscow) - USD/CHF was testing 0.8870 area early in the morning reaching 0.8867 low but soon rebounding to 0.8879 at the moment.

USD/CHF will get the reasons

The pair came closer to strong support level 0.8857 pressured by a series of weaker than expected reports from the USA. Although it now retraced higher, the slide may resume soon. Today we may get another argument for further sell-off, if the scheduled for release American housing data comes out below expectations. The chances of weak results are high given the bad weather conditions that could have constrained the construction works in January. If so, the pair has all the reasons to reach 0.8857 support level followed by 0.8832.

What are today’s key USD/CHF levels?

Today's central pivot point can be found at 0.8893 with support below at 0.8857, 0.8832, and 0.8796, with resistance above at 0.8918, 0.8954, and 0.8979. Hourly Moving Averages are largely bearish, with the 200SMA at 0.8954 and the daily 20EMA bearish at 0.8977. Hourly RSI is neutral at 29.

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