EURCHF Approaches a Bearish Order Block Amidst Oversold Conditions

 EURCHF Analysis – January 3

EURCHF approaches a bearish order block amidst the oversold conditions, according to the Stochastic Oscillator. The price dipped to a low of 0.92550, indicating heightened selling pressure. EURCHF is currently in a retracement phase, with a bearish order block near 0.95000. Oversold conditions on the Stochastic Oscillator indicate an impending short-term expansion to the upside.

EURCHF Key Levels

Demand Zones: 0.94050, 0.93000
Supply Zones: 0.96900, 0.98400

EURCHF Long-Term Trend: Bearish

EURCHF was fluctuating between 0.98400 and 0.96900 levels before a discernible shift towards a downtrend. A notable pause occurred at 0.95300 support, encountering minor resistance and briefly interrupting the downward momentum. The subsequent upward surge into the demand zone at 0.96900 was met with selling pressure, reigniting the downtrend and invalidating the lows.

The Break of Structure at 0.94200 prompted an upward expansion, forming a significant bearish order block near 0.95000. The price dipped to a low of 0.92550 due to the oversold conditions indicated by the Stochastic Oscillator. Currently, the price is on a trajectory towards the bearish order block, suggesting a potential resumption of the bearish trend. The impending approach to the bearish order block may signify heightened selling pressure from the premium zone.

EURCHF Short-Term Trend: Bullish

The trading range of the market is currently between 0.95450 and 0.92550 price levels. From the 0.95450 price level, the price fell, leaving a Fair Value Gap and a bearish order block in the premium zone. As the price retraces upward, the bearish trend is expected to resume from the premium zone.

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