FxWirePro- USDCHF Trade idea

The currency pair trades in a narrow range ahead of Trump’s inauguration. It hit a low of 0.90795 and is currently trading around 0.91280. The intraday bias appears bullish as long as the support level at 0.9000 holds.

In December 2024, U.S. housing starts rose to a seasonally adjusted annual rate of 1,499,000, or 15.8% more than in November but 4.4% below December 2023. Housing starts for single-family units rose 3.3% from the previous month to 1,050,000. For multi-family units, it reached 418,000. Building permits, however, were down slightly to a rate of 1,483,000, or 0.7% less than in November and 3.1% less than a year earlier. Single-family permits rose by 1.6% to 992,000, while multi-family permits were at 437,000. The overall housing market has both positive starts and negative permits. The mixed data is an indication of continuous economic changes in the housing market.

Technical Analysis and Resistance Levels

The pair is trading below the 55-EMA and above the 34-EMA on the 4-hour chart indicating a mixed trend. The immediate resistance is at 0.9150 any break below targets  0.9200/0.92250/0.9275. 

Support Levels and Potential Declines

On the downside, near-term support is around 0.9070, any violation below will drag the pair to 0.9030/0.9000/0.8940/0.8890.

Bullish Indicators

CCI (50) - Bearish
Directional movement Index - Neutral

Trading Strategy Recommendation

It is good to sell on rallies around 0.9128-30 with a stop-loss at 0.9180 for a TP of 0.9030.