The pair rose sharply after Trump took the lead in the U.S. presidential elections. Overall bias remains bullish as long as support 0.8600 holds. It hits a high of 0.87536 and is currently trading around 0.87470.
The policy divergence between the US Fed and SNB supports the pair at lower levels.
Trump's victory was strengthened by wins in important battleground states, including:
- Wisconsin (10 electoral votes)
- Pennsylvania (19 electoral votes)
- Georgia (16 electoral votes)
- North Carolina (16 electoral votes)
These states were crucial in helping him exceed the 270 electoral votes needed to become president.
With Trump nearing a return to the presidency and Harris working to keep her campaign strong, the results from the remaining states will be crucial in deciding the winner of this tight election. As the vote counting continues, both candidates are ready for what could be an exciting finish to this election cycle.
Markets eye US Fed monetary policy tomorrow for further movement.
Technical Analysis
The pair is currently trading above the 34- and 55-EMA on the 4-hour chart.
Near-Term Resistance: Current resistance is at 0.87550. A break above this level could lead to targets at 088050,0.8875/0.8900/0.8925. The break above 0.87500 confirms that the decline from 0.9225 was completed at 0.83750.
Immediate Support: The next support level is at 0.8700. If this level is broken, the pair could drop to 0.8660/0.8600/0.8580, 0.8550, 0.8525, 0.8499, 0.8440, 0.8420, 0.8390, 0.8365 (61.8% Fibonacci projection), or even 0.8340.
Indicator Analysis (4-hour chart)
- CCI (50): Bullish
- Average Directional Movement Index: Bullish
Overall, the trend remains neutral
Trading Recommendation
Consider buying on dips around 0.8720, with a stop loss set at 0.8660 and aiming for a target price of 0.8925.
