USDCHF Bulls Seemed Reluctant Amid a Cautious Mood, Approaching 0.9695 Level

USDCHF Price Analysis – January 21

The USDCHF pair fluctuated in a narrow trading range beneath 0.9695 level with the latest optimism about the long-awaited US-China trade deal at the first stage, which supported the recent rally in global financial markets and continued to put pressure on the perceived safe-haven status of the Swiss franc.

Key Levels
Resistance Levels: 1.0231, 1.0027, 0.9762
Support Levels: 0.9659, 0.9613, 0.9540

USDCHF Long term Trend: Bearish

The FX pair rebounds from multi-day lows, trading beneath the main daily moving averages of 5. USDCHF plunge from the level of 1.0231, which is the handle within the structure and can aim the level at 0.9600 (low).

Maybe another increase may happen, a leap forward of the level at 1.0231 is important to show the resumption of an uptrend. Else, we can watch progressively further rallies with the danger of another dive.

USDCHF Short term Trend: Bullish

USDCHF is restricted in consolidation from the level at 0.9613, and the intraday predisposition remains flat. Maybe there’s another recovery, the development potential might be limited by the barrier level of 0.9762. Then again, a leap forward of the 0.9613 level may proceed toward the downtrend up to 100% of the projection of the level at 1.0231 to 0.9659 from 1.0027 to 0.9600.

Notwithstanding, given the condition of bullish convergence in the 4-hour time frame with the cooperation of RSI and moving average, a break of 0.9762 level may demonstrate a momentary inversion and turn the bull pattern for a more grounded bounce back to the level of 0.9800.

Instrument: USDCHF
Order: Buy
Entry price: 0.9670
Stop: 0.9613
Target: 0.9762

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