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USDCHF Faces Downside Risk as Resistance Holds; Sell Rallies Recommended

 

 

USDCHF pared some of its gains on board-based US dollar selling. Having made an low of 0.79799, it is currently trading at 0.8000.

 

Technical Analysis Points to Further Bearishness

The pair is trading below the 55-EMA, above 200-EMA, and 365-EMA on the 4-hour chart, indicating a mixed trend. The immediate resistance is at  0.8050,any break above targets 0.8090/0.8150/0.8200.

Support Levels and Potential Declines

On the downside, near-term support is around 0.8000; any violation below will drag the pair to 0.7965/ 0.7925/0.7865/0.7800/0.7765/0.7000/0.7660/0.7628.

Indicators (4-hour chart)

CCI (50) - Bearish

Directional Movement Index -  neutral

Trading Strategy Recommendation

It is good to sell on rallies around 0.8068-70 with SL around 0.8150 for a TP of  0.7960.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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