USDCHF up for the 7th consecutive trading day

The USDCHF continues it’s run to the upside which now has the pair up for the 7th consecutive trading day over that time, the price has moved from 0.9555 to 0.9958 or a gain of 403 pips. All that from May 16 to May 27 the price move down 8 of 10 trading days and around 518 pips. Before then, the price moved up 870 pips in at 32 days from the March 30 low.

Needless to say there has been a lot of big trend dish moves in relatively short periods of time since the end March.

Looking at the hourly chart, the price high is approaching a swing area between 0.9961 and 0.9974 (see yellow area and red numbered circles). Get above that area and traders would start to look toward the 1.0000 parity level (watch 0.99906 ahead of that level). Move above and the extreme levels for the year top out at 1.00617.

Would ruin the bullish party now?.

On the downside, watch the 0.99168 to 0.9898 area. That area had a number of swing levels going back to May 9 (see green numbered circles). In trading on Friday and again today, the price first found resistance against the area (see green numbered circles 9 and 10) and then found support (see green numbered circles 11) before moving to new session highs. Unless sellers can push below that area, the buyers are still in more control.

In a trending market either to the upside and downside, the countertrend traders must prove that they could take back support. If they can, the trend remains intact. That is the case with the USDCHF, and with other pairs as the greenback moves higher.