USDCHF trades well below 0.8000 as weak US jobs data increased the chance of a rate cut by the Fed. It hits an intraday low of 0.79442 and is currently trading around 0.79472.
Technical Analysis Points to Further Downside
The pair is trading below the 55-EMA, the 200 EMA, and 365 EMA on the 1-hour chart, indicating a bearish trend. The immediate resistance is at 0.8000; any break above targets 0.8070/0.8090/0.8135/0.8170/0.8215/0.8250.
Support Levels and Potential Declines
On the downside, near-term support is around 0.7940; any violation below will drag the pair to 0.7920/0.7860/0.7800.
Indicators (4-hour chart)
CCI (50) - Bearish
Directional Movement Index - Bearish
Trading Strategy Recommendation
It is good to sell on rallies around 0.7968-70 with a stop-loss at 0.8000 for a TP of 0.7860.
