USD/CHF hits fresh 5-month lows

USD/CHF tuned to the downside, erased gains and broke below last week lows. The pair recently bottomed at 0.9502, hitting the lowest level since October 20.

Reversal and negative momentum

Earlier the pair reached 0.9570, and then lost momentum as the US dollar weakened across the board. Currently it trades at 0.9505/10, 25 pips below last week close. The USD index is also at the lowest level since October.

USD/CHF continues to move with a bearish bias and today so far is breaking the previous floor, that could open the doors for further losses.

USD/CHF technical levels

To the downside, a key support now could be seen between 0.9500 (psychological level) and 0.9495 (Oct 16 & 20 low), followed by 0.9470/75 (monthly low Oct.15 2015). On the opposite direction, resistance might now lie at 0.9535 (20-hour moving average), 0.9570 (daily high) and 0.9625 (Apr 01 & 06 highs).