USD/CHF Price Analysis: Bulls looking for signs of a correction

The Swiss Franc is on the march but a correction is eyed for.
USD/CHF bulls are lurking in what could be a support area for the coming sessions.

Ross J Burland FXStreet

The Swiss Franc rallied in tandem with the Euro on Thursday which made a fresh four-week high against the US Dollar after the European Central Bank lifted interest rates to a two-decade high of 3.5% and guided towards more hikes ahead. This has seen USD/CHF subsequently plummet on the day towards a critical support area as the following technical analysis will illustrate:

USD/CHF H4 chart

We have seen a breakdown in the market structure which has left behind the M-formation, a reversion pattern that leaves scope for a correction back towards prior support structures.

USD/CHF H1 charts

Zooming down to the hourly charts, we see the structure on the left where the price could be headed before a deceleration might come into play leading to a phase of accumulation.

Zooming into the present, bulls will be monitoring for that deceleration and a bullish structure within the accumulation schematic to lean against and targetting the imbalance to the upside.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

GBP/USD picks up pace around 1.3550

GBP/USD leaves behind part of the recent three-day retracement and hovers around the 1.3550 region on Monday. The Greenback’s fresh downward trend helps Cable recoup part of the recent ground lost while attention remains on the potential Fed rate path.

EUR/USD challenges 1.1600 amid a decent recovery

EUR/USD is partially trimming Friday’s severe pulback and is managing to flirt with the key 1.1600 barrier at the beginning of the week. The pair’s rebound follows a modest selling pressure on the US Dollar as investors assess the likelihood of a Fed rate hike in September.

Gold slips back to $4,400, multi-day lows

Gold adds to Friday’s maked decline, briefly falling to the sub-$4,400 region per troy ounce on Monday. The yellow metal’s pullback comes despite the softer stance in the US Dollar and steady uncertainty in the Middle East, although rising yields keep bulls at bay for now.

Crypto Today: Bitcoin, Ethereum, XRP broadly consolidate amid renewed US-Iran strikes

Bitcoin remains resilient above $78,000 as investors anticipate a renewed push toward $80,000. Ethereum continues to demonstrate a constructive technical setup, holding above $2,400. Ripple is exhibiting early signs of recovery near $1.37.

Oil rallies on fresh persian gulf strikes

Energy prices are trading firmer this morning after the US carried out targeted strikes against Iran, drawing retaliatory strikes and reinforcing concerns about a prolonged stalemate in the Persian Gulf. Oil prices started the week stronger following the first military strikes between the US and Iran in a month. ICE Brent briefly moved back above US$90/bbl in early morning Asia trading.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.