- USD/CHF has been bullish searching for its support.
- The pair trades above the SMA 30 on the H4 chart.
- A horizontal flipped support may hold the price and push it towards the North.
- The H1 chart has been choppy for quite a while.
USD/CHF – Technical Analysis- H4 Chart
The chart shows that the price has been bullish by breaching the simple moving average 30’s resistance. It has been traded over the SMA 30 for a while. As of writing, the pair has been looking for its support. The SMA 30 and a horizontal level at 0.87275 may play a vital role to determine its next route. A bullish reversal candle may push the price towards the North. The price may find its next resistance around 0.88150.
On the contrary, if the price breaches the SMA 30 and the horizontal support, the sellers may take over and drive it towards the South. The price may find its support around 0.86350. More importantly, the price has enough space to continue its bearish move. Thus, a bearish breakout may make the pair remain bearish for some days.
Price Action Analysis- H1 Chart
The chart shows that the price has been ranging within 0.87275- 0.87600. It is very explicit that the price has been looking for its direction. A bearish breakout at the support may drive the price towards 0.86500.
On the contrary, if the price breaches the level of 0.87600, it may head towards the North and find its resistance around 0.88000.
Considering the H4 chart, it looks bullish. The H1 chart looks neutral. However, a bearish breakout on the H1 chart may change the whole equation. Thus, traders are to keep an eye on the H1 chart to find its next direction. Let us wait and watch what happens next.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn