USD/CHF Price Forecast: Climbs above 20-day SMA, eyes on 0.81

• USD/CHF up 0.56%, trades at 0.8087 after clearing 20-day SMA at 0.8076.
• Technicals show bullish momentum as 20-day SMA crosses above 50-day SMA.
• Break above 0.8100 opens path to 100-day SMA at 0.8149 and August 1 peak at 0.8171.
• Downside risks emerge on failure to hold 20-day SMA; could test 0.8037, 0.8000, and lower prices.

USD/CHF clears the 20-day SMA of 0.8076, rises over 0.56% sponsored by mixed economic data in the US that triggered a reaction by investors, who trimmed dovish Fed bets for the upcoming September meeting. The pair trades at 0.8087, about to crack the 0.81 handle.

USD/CHF Price Forecast: Technical outlook

USD/CHF trades sideways, but it seems that it bottomed out at around July's low of 0.7872. Since then, the pair gained over 2.70%, and a bullish cross of the 20-day SMA above the 50-day SMA at 0.8037 suggests that buyers are gathering steam.

A daily close above 0.8100 clears the path for crucial key resistance levels, like the 100-day SMA at 0.8149 and the August 1 peak at 0.8171. The following areas of interest would be 0.8200 and the May 29 high at 0.8348.

On the other hand, a USD/CHF drop below the 20-day SMA and a move towards the 50-day SMA at 0.8037 is on the cards. On further weakness, the next support would be the 0.800 mark, ahead of testing the July 23 swing low of 0.7911.

USD/CHF Price Chart - Daily