USD/CHF: Bear Gets Ready to Make a Move

• USD/CHF is having consolidation after being bearish on the H4 chart.
• The chart shows that the swing low offers enough space.
• The H1 chart had a bounce at a significant support.
• Intraday price action has been bullish.

USD/CHF – Technical Analysis- H4 Chart

The chart shows that the price has after breaching the simple moving average 30’s support continued its bearish move with one more candle. Then, the price started having bullish correction. The resistance of the MA came into play and produced a bearish reversal pattern. Upon producing a bearish engulfing candle, the price headed towards the South with good momentum. As of writing, the price consolidates. A bearish reversal candle may attract the sellers to go short in the pair. The price may find its support around 0.85600.

For the buyers, they may wait to get a double bottom here. If the price bonces at 0.86100 and breaches the level of 0.86850, the price may find its resistance around 0.87300.

Price Action Analysis- H1 Chart

The chart shows that the price gets caught within a channel after being bearish. The sellers would be waiting eagerly to get a breakout at the channel’s support to go short in the pair. A breakout may take the price towards 0.85500.

On the contrary, a bullish breakout at the channel’s resistance may push the price towards the North. The price may find its resistance around 0.86650. The H1 chart looks good for both buyers and sellers.

Since the H4 chart looks good for the sellers, thus, the pair may make a bearish move and end up making a new lower low on the H1 chart. The H4 chart also suggests that if it gets bearish from here, it may remain bearish for some days as well.

Written by: Md Tareq Sikder, Senior Analyst Forex Prop News

Contact and follow Tareq on Twitter: @tareqfpn