USD/CHF technical analysis: 21-DMA holds the key to 0.9900

• 38.2% of Fibonacci retracement, 8-week old resistance-line can please buyers past-21 DMA break.
• 23.6% of Fibonacci retracement acts as immediate support.

Even after rising to a 10-day high, the USD/CHF pair struggles around 21-day simple moving average (21-DMA) as it takes the rounds to 0.9875 amid initial part of Tuesday morning.

Not only 21-DMA level of 0.9877 but 38.2% Fibonacci retracement of April – June downpour and 2-month long descending trend-line, at 0.9900 and 0.9953 respectively, can also challenge the buyers.

Given the quote’s successful rally beyond 0.9953, June 19 top around 1.0016 may become bulls’ favorite.

Alternatively, 23.6% Fibonacci retracement level of 0.9820 and 0.9780 seem immediate supports for the pair, a break of which might not refrain from calling sub-0.9700 mark back to the chart.

USD/CHF daily chart

Trend: Pullback expected