Overview: USD/CHF pair is turning down once again after arriving at 0.9800 levels we have seen reversal candlesticks on the daily time frame. Well, this was not a surprise for us as we have seen strong supply pressure from the 0.9900 to 0.9367 level already.

Currently, pair is trading below major and minor EMA lines and the outlook insists us to have a bearish view now and it will further confirm once we see a daily closing below the 0.9300 level. In our previous report also we mentioned to sell the pair around 0.9850 for the target of 0.9600 and 0.9500 and our targets have been achieved easily so we are expecting that readers must have made a profit from this move.

Technical Analysis: From a technical prospective we can see that a rounding top pattern has been formed where bears are leading and playing at front foot. Well they way bears are reacting it seems like 0.9500 level is the very next target and further down is still on the cards.

Also, a clear cut breakout of the symmetrical triangle pattern we can see on the daily technical chart which favors the bears. The primary trend is down and secondary trend is also down and in a downtrend market always sell on highs will be a profitable strategy. A very short term uptrend line has been breached out by bears at an initial level.

Pair is trading below all the major and minor EMA lines which suggest that go for short and add more shorts below 0.9250 level. Odds are in favor of bears and intraday bias remains bearish on the pair as long as 0.9680 levels remain intact. RSI has turned down so we may see some selling pressure in the pair.  A bearish crossover on the MACD indicator is also providing us a bearish signal.

What next: The 0.9500 is key resistance level followed by 0.9650 level whereas 0.9250 level which is a key support level followed by 0.9100 level.

Trade idea: Based on the chart and study above we can suggest go for sell at current levels 0.9370 for the target of 0.9250 and 0.9100 stop loss is 0.9550.

USDCHF

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Analysis feed

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Analysis


Latest Forex Analysis

Editors’ Picks

AUD/USD battles 0.7700 amid covid, stimulus woes-led risk-aversion

AUD/USD holds the lower ground, testing the 0.7700 level amid broad risk-aversion that has triggered a bounce in the safe-haven US dollar. Uncertainty over the US stimulus, worries over new covid strain and lockdowns weigh on the risk appetite. 

AUD/USD News

GBP/USD pressured towards 1.3650 amid risk-off, ahead of UK jobs

GBP/USD remains depressed, heading towards 1.3650. The cable responds to the fresh risk-off mood after flashing a two-day losing streak. UK virus data suggests an improvement in covid conditions, Health Secretary Matt Hancock gives credits to activity restriction measures.

GBP/USD News

Gold rises 0.3%, but the market still looks indecisive

Gold still locked in Monday's indecisive price range. The yellow metal is still stuck in the indecisive price range of $1,847 to $1,868, marked by Monday's Doji candle. Worsening of risk aversion may yield a range breakdown.

Gold news

Ripple is South Korea’s most popular cryptocurrency, but XRP price stays pressured

XRP/USD bounces off intraday low of 0.2647, stays below 21-day SMA for fifth day. As per the latest report from Messari, Bitcoin and Ripple are the most popular cryptocurrencies in South Korea.

Read more

US Dollar Index: A breach of 90.00 exposes 2021 lows at 89.20

The inability of USD-bulls to push further north of recent tops in the 91.00 region in past sessions prompted sellers to return to the markts and shifted the attention to the potential continuation of the downtrend.

US Dollar Index News

Forex Majors

Cryptocurrencies

Signatures