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USDCHF Tumbles on Dollar Dump: Bearish Signals Point to Deeper Declines

USDCHF pared most of its gains on board-based US dollar selling. It hits an intraday low of 0.797312  and is currently trading around 0.79355.

Technical Analysis Points to Further Weakness

The pair is trading below  55-EMA,  the 200 EMA, and 365 EMA on the 4-hour chart, indicating a weak trend. The immediate resistance is at  0.7980; any break above targets  0.8000/0.8070/0.8090/0.8135/0.8170/0.8215/0.8250.

Support Levels and Potential Declines

On the downside, near-term support is around 0.7920; any violation below will drag the pair to 0.7900/0.7860/0.7800.

Indicators (4-hour chart)

CCI (50) - Bullish

Directional Movement Index -  Neutral

Trading Strategy Recommendation

It is good to sell on rallies around 0.7968-70 with SL around 0.8010 for a TP of 0.7860.

 

 

 

 

 

 

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