USD/CHF: Weekly close above 0.9525 to open up further strength – Credit Suisse

USD/CHF has moved above its March 2021 and March 2022 highs at 0.9473, which raises the prospect of a medium-term turn higher. A weekly close above here, as well as the 200-week moving average at 0.9525 would confirm the breakout, analysts at Credit Suisse report.

USD/CHF needs to hold above the broken 0.9473 highs into the weekly close

“USD/CHF has recently broken out above March 2021 and 2022 highs at 0.9473, which hints at the potential for a medium-term turn higher. Next key resistances are seen at the 50% retracement of the 2019/2021 downtrend at 0.9497/9500, as well as the 200-week moving average at 0.9525.” 

“A weekly close above 0.9525 would confirm further medium-term upside to at least the 61.8% retracement at 0.9672 and potentially the 78.6% retracement at 0.9901/9921 given the magnitude of the breakout.” 

“The pair needs to hold above the broken 0.9473 highs and certainly above 0.9413 into the weekly close, as a move back below here would quickly raise concern of a false breakout given how mean-reverting the market has been over the past 15 months.”