Ichimoku analysis (4 Hour chart)
Tenken-Sen- 0.91500
Kijun-Sen- 0.91500
June month high– 0.92750
The pair has formed a double bottom around 0.9100 and shown a minor pullback. The minor weakness in the US dollar is due to dovish comments from Powell. He said that the US economy continues to make clear progress towards maximum employment and it would be appropriate to start tapering of bond purchase by year-end. The bank was in no rush to raise interest rates despite a surge in inflation. At the time of writing, USDCHF is hovering around 0.91749, down 0.02%.
Trend- Bearish
The near-term resistance is around 0.9200, any breach above targets 0.9240/0.9275. Bullish trend continuation only if it breaks 0.92750. On the lower side, immediate support is around 0.9100. Any convincing breach below will take to the next level 0.90750/0.9050.
Indicator (4-Hour chart)
CAM indicator –Slightly Bullish
Directional movement index –Neutral
It is good to sell on rallies around 0.9178-80 with SL around 0.92150 for a TP of 0.9075.
