EUR/CHF Price Analysis: Attempting corrective bounce amid oversold conditions


  • EUR/CHF is looking oversold, as per key daily chart indicator. 
  • The hourly chart is reporting a triangle breakout. 
  • A corrective bounce to the 5-day average hurdle could be in the offing. 

EUR/CHF is looking to regain some poise from three-year lows reached on Wednesday.

The pair is currently trading at 1.0775, representing marginal gains on the day, having hit a low of 1.0742 yesterday. That was the lowest level since April 2017.

The bounce could be extended further, as the 14-day relative strength index (RSI) is hovering well below 30 for the first time since August 2018, indicating extreme oversold conditions.

Further, the hourly chart shows a descending triangle breakout and a bullish divergence of the relative strength index.

The pair could challenge the 5-day average hurdle at 1.0777.

Daily chart

Hourly chart

Trend: Corrective bounce likely

Technical levels

EUR/CHF

Overview
Today last price 1.0756
Today Daily Change 0.0008
Today Daily Change % 0.07
Today daily open 1.0748
 
Trends
Daily SMA20 1.0847
Daily SMA50 1.0913
Daily SMA100 1.093
Daily SMA200 1.1041
 
Levels
Previous Daily High 1.0778
Previous Daily Low 1.0742
Previous Weekly High 1.0862
Previous Weekly Low 1.0782
Previous Monthly High 1.1044
Previous Monthly Low 1.0838
Daily Fibonacci 38.2% 1.0755
Daily Fibonacci 61.8% 1.0764
Daily Pivot Point S1 1.0734
Daily Pivot Point S2 1.072
Daily Pivot Point S3 1.0698
Daily Pivot Point R1 1.077
Daily Pivot Point R2 1.0792
Daily Pivot Point R3 1.0806

 

 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD pressured under 1.11 amid virus fears, ahead of the ECB

EUR/USD is trading below 1.11, under pressure as fears of the coronavirus weigh on markets. The ECB is set to leave rates unchanged and provide views about the current economic environment. 

EUR/USD News

GBP/USD consolidates gains above 1.31 after parliament seals Brexit

GBP/USD is trading above 1.31, consolidating its gains. The House of Lords gave its final seal to Brexit. Speculation ahead of the BOE's decision continues after upbeat data diminished chances for an imminent move.

GBP/USD News

Forex Today: Coronavirus fears spread and weigh on markets, Aussie surges, all eyes on the ECB

Chinese authorities have shut down access links to Wuhan, the large provincial capital where the coronavirus originates from. The news, coming ahead of the Chinese Lunar New Year, is weighing on markets. 

Read more

WTI hits 7-week low, potential bull RSI divergence on 1H

WTI oil fell to $55.68 soon before press time, the lowest level since Dec. 3, having declined by 3.73% on Wednesday. The black gold has found acceptance below $56.60, which is the 61.8% Fibonacci retracement (one of the golden ratio) of the rally from $51.03 to $65.62.

Oil News

USD/JPY drops to fresh eight-day lows near 109.50

USD/JPY extends losses and trades close to an eight-day low near 109.50 in a relatively risk-off environment, with the media headlines full of the coronavirus as it spreads internationally. Bears can look to the golden ratio around mid-108s.

USD/JPY News

Forex MAJORS

Cryptocurrencies

Signatures