EUR/CHF Breaks the Downtrend Line, Kick Start the Uptrend

Key Resistance Levels: 1.09000, 1.10000, 1.11000
Key Support Levels: 1.05400, 1.05200, 1.05000

EUR/CHF Price Long-term Trend: Bullish
EUR/CHF pair is in a descending channel. The pair fell to the low of level 1.05000 and rebounded. The rebound broke the resistance level and resumed the uptrend. Technically, when price breaks the resistance line closes above it, this indicates a change in the trend. The market is approaching level 1.06958.

Daily Chart Indicators Reading:
EUR/CHF is at level 68 of the Relative Strength Index period 14. It is approaching the overbought region. This implies that the market is in the uptrend zone and above the centerline 50. The 50-day SMA and 21-day SMA are sloping upward indicating the bull market.


EUR/CHF Medium-term Trend: Bullish
On the 4-hour chart, the EUR/CHF pair is  in an uptrend. A correction candle tested the 0.618 Fibonacci retracement level. This indicates that the market will rise and reached a high of 1.618 Fibonacci retracement level.

4-hour Chart Indicators Reading
The 50-day and 21-day SMA are sloping upward indicating the uptrend. The pair is below 50% range of the daily stochastic. EUR/CHF pair is in bearish momentum. The price action is indicating a bullish signal. The 21-day SMA crosses over the 50-day SMA indicating the uptrend.

General Outlook for EUR/CHF
EUR/CHF is resuming an upward move after a long period of a downtrend. The Relative Strength Index indicates that the market is approaching the overbought region of the market. Therefore, sellers may emerge in a couple of days to come.

Note: Learn2.Trade is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results