USDCHF recently broke above the resistance at the .9900 major psychological mark then rallied to a high of 1.0073 before retreating. Price is retesting the former resistance that might now hold as support.

The Fibonacci retracement tool shows that this area of interest lines up with the 50% level. A larger correction could reach the 61.8% Fib at .9894, which might be the line in the sand for a pullback. If any of the Fibs hold as support, USDCHF could resume the climb to the swing high or higher.

The 100 SMA is above the 200 SMA to indicate that the path of least resistance is to the upside or that support levels are more likely to hold than to break. However, the gap between the indicators is narrowing to reflect slowing bullish pressure and a potential bearish crossover.

Stochastic is pulling higher from the oversold region, though, so a pickup in bullish momentum is likely. RSI is also heading up, so price could follow suit while buyers are in control.

The US economic calendar suggests a pretty calm week in terms of economic releases, although USDCHF might still take cues from shifts in market sentiment.

Geopolitical tensions still seem to be keeping safe-haven demand supported for the time being, as provocations from Russia might keep the dollar bid. Apart from that, expectations of a recession might also drive traders towards risk-off assets like the US dollar.

Meanwhile, the Swiss franc could also attract safe-haven flows of its own, especially since the SNB has not been as keen on intervening in the forex market as it used to be. Still, policymakers might opt to brace their economies for a potential recession and more bond market volatility through more creative monetary policy measures.