FSMNews

On the daily close chart, the pair is seen to be trading above its 50-day SMA of 0.9755, at 0.9810-0.9773 handle. This trade above its 50-day SMA while remaining above the 100-day SMA of 0.9742 signals an uptrend that started on June 11 when the two lines crossed and exchanged positions, putting 50-day SMA at current resistance.

FSMNews

The strength of the trend is neutral, not too strong and not too weak, seeing as how the 200-day SMA of 0.9827 is still above the 50-day and 100-day SMA but appears to be closing in. The pair seems to aim towards testing the very important 200-day SMA resistance, above which the momentum is likely to boost the pair beyond 0.9900 handle.

FSMNews

Support is found at 0.9772 and a break below could test a new support at 0.9742, while resistance is at 0.9821 and a rise through could find a next resistance at the level of 0.9840.

Looking ahead, investors would keep a close watch on Switzerland’s KOF leading indicator data for August, due to be released in some time. This is after the news of Swiss total sight deposits inched up to a level of CHF514.1 billion in the week ended 26 August, from CHF514.1 billion in the previous week.

FSM News provides the broadest coverage of the latest news on forex, commodities, individual stocks, stock indices, technology, as well as the world economy. What are you waiting for? Stay informed and be a smart trader! Subscribe Now and receive the daily newsletter!