Photo by Claudio Schwarz on UnsplashThe USD/CHF pair has recently shown some price action, suggesting that the overall downtrend remains intact. Let’s break down the key levels and potential scenarios for traders to watch.
Recent Developments
Key Levels to Watch
- Immediate support: 0.8776
- Next target: 0.8730 area
- Initial resistance: 0.8875
- Key resistance: Falling trend line on the 4-hour chart
- Higher resistance: 0.8923
- Major resistance: 0.9000 area
Potential Scenarios
- As long as the price remains below the falling trend line, expect further declines
- A breakdown below 0.8776 could trigger a move towards the 0.8730 area
- A break above 0.8875 and the falling trend line would indicate a potential trend reversal
- If this occurs, the next targets would be 0.8923, followed by the 0.9000 area
Conclusion
The USD/CHF pair remains in a downtrend, with the recent bounce likely being a consolidation phase. Traders should keep a close eye on the key support at 0.8776 and the resistance at 0.8875 and the falling trend line for potential trading opportunities.More By This Author:AUD/USD Analysis: Awaiting Key Inflation DataGold Price Analysis: Short-Term Downtrend With Potential For Rebound GBP/USD Technical Analysis: Downtrend Continues Within Falling Channel
