CAD/CHF sellers attempt to form a double-top
|CADCHF price action on the 4-hour chart has depicted a bearish set-up since the sellers broke below the short-term support at the 0.7308 mark.
The CADCHF is attempting to find a clear direction after the uptrend paused, with buyers retreating from the 0.7362 peaks. The break of 0.7308 support has pushed the pair below the 50 EMA in the morning trading on Friday.
With more selling pressure emerging, a decisive break of the 0.7270 barriers would evidence a bearish double-top pattern that would encourage technical sellers to jump into the market. In this scenario, the next support area could appear at the 0.7254 level, which lines up with the 200 EMA.
In the event that the CADCHF falls further, sellers will be looking toward the next area of support at 0.7221.
Otherwise, should buyers keep the ground above the 0.7270 handles, they would have a chance to meet the 50 EMA.
Clearing this obstacle around 0.7308 might pave the way towards the 0.7328 previous level of interest.
Nevertheless, it is imperative to remember that the continuation of the uptrend requires overcoming the two-month price ceiling at 0.7362.
Short-term momentum oscillators indicate a prevailing bearish sentiment. The RSI is hovering below the 50-baseline, and the Momentum is pulling down below the 100-threshold in the selling area.
And The MACD bar is about to cross the zero line into the negative zone.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.