The USDCHF is moved lower on the back of the PCE data today and that move has now taken the price of the USDCHF to 0.8400 target. Remember, that area is a low of an up-and-down trading range that has confined the pair going back to August 20. The high of the area comes in at 0.85368.
Admittedly, back on the job stay on September 6 and also on the FOMC meeting date, the price of the pair move below that level on those events, only to snap back higher.
The event today, has so far not been able to extend below the low of the Red Box (see chart below).
What would give the dip buyers more comfort/confidence. Get above 0.84218 and 0.8431 would open the upside more.
This article was written by Greg Michalowski at www.forexlive.com.
