Daily Forex Analysis – USD/CHF
The current disposition of the USD/CHF doesn’t showcase any noticeable shift, with the prevailing intraday bias leaning bearish. The downward correction, commencing from 0.9247, has the potential to stretch its influence until the 38.2% retracement level, which is calibrated between 0.8555 and 0.9247, pinpointing 0.8983 as a target. Conversely, should the pair breach the minor resistance at 0.9126, it might alter the intraday sentiment to a more neutral stance. However, as long as the 0.9247 barrier remains intact, the threat of witnessing another drop looms large.
Stepping back for a broader perspective, the unfolding patterns signal that the ascent from 0.8555 might be instigating a trend reversal, effectively overturning the longstanding bearish trend that had its inception at 1.0150. If this is the course we’re observing, expectations of an upward rally, targeting the 61.8% retracement which is set at 0.9541, could gain traction. At this juncture, even if the pair undergoes a substantial pullback, confidence in this bullish narrative is retained, provided that the 55 D EMA, presently valued at 0.8973, remains unbreeched.
Analysis Summary
The USD/CHF intraday bias is anchored in a bearish sentiment, pointing towards a potential 0.8983 target. However, the broader outlook hints at a trend reversal from the bearish trajectory that began at 1.0150, with 0.9541 as a prospective rally point, especially if the 55 D EMA at 0.8973 holds.
Key Takeaways
- The ongoing bearish correction might push USD/CHF towards 0.8983.
- A breach beyond 0.9126 could neutralize the current bias.
- The overarching trend suggests a potential reversal, eyeing 0.9541, contingent on the 55 D EMA.
