USD/CHF technical analysis: Breaks below weekly ascending trend-channel support ahead of Powell


  • The USD/CHF pair stalled its strong positive move and witnessed a dramatic intraday turnaround from three-week tops in reaction to China's retaliatory tariffs on $75 billion worth of US goods.
  • The sharp intraday pullback has now dragged the pair farther below a support marked by the lower end of weekly ascending trend-channel and already seems to have confirmed a bearish breakdown.

Meanwhile, technical indicators on the 1-hourly chart quickly drifted into the bearish territory and have been losing positive momentum on 4-hourly/daily charts, further adding credence to the negative outlook and setting the stage for an extension of the corrective slide.
 
A follow-through weakness below the 0.9800 handle will reinforce the bearish set-up and turn the pair vulnerable to accelerate the slide further towards 0.9775 horizontal zone en-route weekly lows - around the 0.9760 region - and ahead of the 0.9730 support area.
 
On the flip side, the ascending trend-channel support breakpoint - around mid-0.9800s - now becomes immediate resistance, above which a bout of short-covering might assist the pair to aim back towards the trend-channel resistance - currently near the 0.9880-85 region.

USD/CHF 1-hourly chart

fxsoriginal

USD/CHF

Overview
Today last price 0.984
Today Daily Change 0.0003
Today Daily Change % 0.03
Today daily open 0.9837
 
Trends
Daily SMA20 0.9807
Daily SMA50 0.9839
Daily SMA100 0.9956
Daily SMA200 0.9957
Levels
Previous Daily High 0.9845
Previous Daily Low 0.9813
Previous Weekly High 0.981
Previous Weekly Low 0.9659
Previous Monthly High 0.9952
Previous Monthly Low 0.978
Daily Fibonacci 38.2% 0.9833
Daily Fibonacci 61.8% 0.9825
Daily Pivot Point S1 0.9818
Daily Pivot Point S2 0.98
Daily Pivot Point S3 0.9786
Daily Pivot Point R1 0.985
Daily Pivot Point R2 0.9864
Daily Pivot Point R3 0.9882

 

 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD: Mildly bid, but bull reversal remains elusive

EUR/USD is currently trading at 1.1078, representing marginal gains on the day amid oil price spike. The currency pair on Friday faced rejection at the resistance of the trendline connecting June 25 and Aug. 13 highs.

EUR/USD News

GBP/USD: Brexit optimism keeps bulls in the drivers’ seat

The GBP/USD pair has advanced for a second consecutive week, reaching Friday 1.2505, its highest since last July, and settling not far below this last. Fading odds for a hard-Brexit continue to underpin the Pound.

GBP/USD News

USD/JPY looking to close the bearish opening gap amid risk-off

USD/JPY gapped down to 107.44 on Monday’s open as risk appetite is diminished following the attack on Saudi Arabian oil facilities. The spot now trades near 107.80, aiming to close the bearish opening gap ahead of a big week. 

USD/JPY News

Gold prices shot higher by over 1% in risk-off start to the week

Gold prices have shot higher in the open this week due to the increased tensions in the Middle East following the attack on Saudi Arabia’s oil and gas facilities in Abqaiq which has suspended half of the kingdom’s processing.

Gold News

The good, the bad and the extremely ugly crypto

XRP is in a borderline situation and with little room for doubt. Bitcoin demonstrates its power and positions itself as the emerging leader. Ethereum is in an intermediate situation, far from risk but also from opportunity.

Read more

Forex MAJORS

Cryptocurrencies

Signatures