GBP/CHF hovers at key 1.47 zone below the EMA20

FXstreet.com (Chicago) - GBP/CHF dipped below the 1.47 zone erasing earlier gains after reaching 1.4733 limits.

GBP/CHF Technical Levels

Price action reveals the extension of a bearish channel leading the pair to 1.4696 session lows prior to SNB interest rate decision in Switzerland and retail sales data in the UK. The pair accumulates 16 pips lost so far after failing to break above 1.4733 peaks and sustain earlier gains. Offered at 1.47, the pair oscillates between supports aligned at 1.4678 (September 14th lows), 1.4646 (September 4th highs), 1.46 (September 3rd highs) and resistances set at 1.4710 (September 13th lows), 1.4740 (August 5th highs) followed by 1.4776 (September 16th highs). According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis and is offered below the EMA20. Although the primary trend remains pointing up, the secondary trend seems to be reversing which could imply the confirmation of a short-term and medium-term bearish move. After reaching triple peaks yesterday above the 1.48 zone, the pair extends a retracement despite dual EMAs favoring the bulls with EMA50 under the EMA20.

Session Recap: USD licking its wounds; China markets closed

USD stopped the bleeding today in the Asia-Pacific right after the FOMC fiasco and even strengthening a bit across the board specially against Aussie and Yen, but still below the 80.25 level of the DXY spot index, down -1.6% for the week so far, and -2.3% for the month.
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