USDCHF Higher Near Term Correction Sets In, Upside Barrier Stays at 0.9370 Level

USDCHF Price Analysis – August 4

Last week, USDCHF struggled to finish underneath the low level of 0.9056 and the demand is strengthening in the near term. The 0.9467 marks are anticipated to cap the upside rally with the pair trading at around 0.9156 level and beyond today.

Key Levels
Resistance Levels: 0.9902, 0.9467, 0.9181
Support Levels: 0.9047, 0.9000, 0.8969
USDCHF Long term Trend: Bearish
During the European session on Tuesday, USDCHF nears the top of the immediate trading range while taking rounds underneath 0.9180 level. By doing so, the quote falters in its recovery, going from the low level beneath level 0.9156.  The down-moves also draw pointers from 70 zones of the RSI parameters.

Within the broader sense, a decrease from level 1.0231 is perceived as the third phase of the pattern from level 1.0342 (low). A recent trend implies such patterns are still deepening. Feasible trade beneath the 100% forecast of 1.0342 to 0.9242 levels from 1.0231 to 0.9081 levels may open the path for a forecast of 138.2 percent at 0.8639 levels.

USDCHF Short term Trend: Bearish
The short-term rebound from 0.9056 level is still in support of continuing to the level of 0.9370 cluster resistance (38.2% retraction from 0.9902 to 0.9056 at 0.9370 levels). Initial resistance is the short term downtrend of 0.9370 ahead of the harder resistance level of 0.9321. And yet the upside is to bring a further fall to be restricted there.

On the downside, a weak support level beneath 0.9116 level would carry a retest of 0.9056 level. Continuous breach of 0.9370 level, after all, may bring stronger rally at 0.9550 level to 61.8 percent retracement. Whereas in a situation bulls deteriorate to bring the upside, which is less probable, 0.9116 and 0.9100 levels may provide initial support for the pair.

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