EUR/CHF Trades Descending Triangle Pattern - Brace for a Breakout
|The EUR/CHF currency pair is trading with a bearish bias at 1.0667 area as traders are selling weaker Euro while moving their investments into the Safe haven Swiss Franc.
The EUR/CHF trades lower today, though forecast remains consistent. While additional drop cannot be ruled out, we'd progress to anticipate substantial support from 1.0629, which is confined to 61.8% prediction of 1.1476 to 1.0811 from 1.1059 at 1.0648, to restrain downside and cause rebound.
On the upside, the breakout of 1.0737 resistance level may confirm short term bottoming, on bullish convergence situation in 4-hour MACD, and turn the sentiment bullish.
|
Support |
Pivot Point |
Resistance |
|
1.0646 |
1.0697
|
1.0698 |
|
1.0627 |
1.0731 |
|
|
1.0575 |
1.0783 |
Descending triangle pattern on the 4 hour chart is driving bearish bias for the pair. Typically such a pattern do break on the lower side. Choppy session in the EUR/CHF continues as the pair is maintaining a sideways trading range of 1.0726 - 1.0665. While the immediate resistance is around 1.0710, and the breakout of this can lead the EUR/CHF prices towards 1.0726.
EUR/CHF - Trade Setup
Sell Below 1.0660
Take Profit 1.0640
Stop Loss 1.06800
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