EURCHF Holds Firm Above Major Demand Zone Amid Bearish Pressure

EURCHF has demonstrated notable resilience as repeated bearish attempts to break below the critical 0.92550 support level continue to fail. Following April’s unsuccessful breakdown attempt, the pair entered a consolidation phase that has formed a clear descending triangle pattern on lower timeframes. This technical formation suggests the market is coiling for its next significant move, with traders awaiting a decisive breakout to establish fresh directional bias.

Demand Zones: 0.92550, 0.91000, 0.90000

Supply Areas: 0.97690, 0.99300, 1.00810

EURCHF maintains its long-standing range between 0.92550 support and 0.97690 resistance, with three notable bearish attacks in August 2024, November 2024, and April 2025 all being firmly rejected. The daily chart shows clear reversal patterns at each test of support, including prominent bullish engulfing candles and higher swing lows.

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The daily chart reveals neutral momentum conditions, with the momentum oscillator hovering around zero. This reflects a balanced market characterised by lethargic price fluctuations. This equilibrium is further confirmed by the ADX (Average Directional Index), which remains firmly below the 20 threshold, signalling an absence of significant trending behaviour in either direction.

The 4-hour chart reveals a well-defined descending triangle developed since April’s rejection from the 0.92550 floor. This pattern typically suggests weakening bearish momentum as lower highs meet consistent support. Market participants should monitor for either a breakdown through 0.92550 that could trigger extended declines toward 0.91000. They should also monitor an upside breakout above the triangle’s descending trendline that may propel the pair toward 0.95500.

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