USDCHF Has No Clear-Cut Direction in a Sideways Trending Market

USDCHF Analysis – The Price Has No Clear-Cut Direction as the Price Keeps Ranging

USDCHF has no clear-cut direction as the market maintains its sideways trending movement. The latest activity has seen a double bounce off the price off the strong support level at 0.91570. In the lateral movement of the market, the support level has been constant while the market has reached highs of varying levels. This is a sign that sellers may have the bias of the market forces.

USDCHF Significant Levels

Resistance Levels: 0.92740, 0.93350, 0.93770
Support Levels: 0.89300, 0.91070, 0.91570
The market has been trudging up a trend line since it dropped to 0.89300 in late May last year. Buyers gradually pushed a wobbly market upward till it climbed above the strong support level at 0.91570. The support level has a range that extends to 0.91070. Shortly after the price was lifted above this level, the trend line was discontinued, and the market dropped below it.

The bears also tried to force the price below the support level, but that was unsuccessful despite unyielding insistence. The lower level of support at 0.91070 kept the market at bay. What follows is an unsteady market flow in a lateral direction. This is demonstrated on the RSI (Relative Strength Index) as its line undulates about the 50 mark. On the other hand, despite just rising to overbought, the Stochastic has its line spending more time in the oversold region—a bearish indication.

Market Expectations

Currently, the price is fluctuating around the 0.92740 significant level. This level has seemed to be the limit of buyers in recent times since the beginning of February. As a result, we can expect the price to drop again to the support level. The RSI on the 4-hours chart is plunging towards 50. This is the same as the Stochastic Oscillator, whose lines are midway to reaching the oversold zone.

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