EURCHF Heads Downward for Buy Orders at a Discount

EURCHF Analysis – Market Heads Downward for Buy Orders at a Discount

EURCHF heads downward for buy orders at discount. Undoubtedly, the market’s overall trend is bullish. This bullishness was confirmed immediately after the old high, formed on September 2, 2022, was invalidated. Now that the market has changed its character to the upside, EURCHF has been moving algorithmically from discount to premium.

EURCHF Significant Zones

Demand Zones: 0.9710, 0.9400
Supply Zoners: 0.9960, 1.0220



Before the change in character to the upside, major diagonal support was responsible for price retracement to the upside from a discount array. While the bears were completely in control of the market, the bulls also had opportunities to make profits by going long. The bounce off the major diagonal support on March 7, 2022, gave a relatively long period of buying opportunities for the EURCHF buyers. However, the market’s local high was reached on February 4, 2022. This high was at the 1.0600 price level.

The expansion of the Bollinger Bands after this high was reached revealed that more market participants have become interested in either selling or buying the Euro against the Swiss Franc. On June 16, the price was delivered to the downside after the emergence of some consecutive bullish candlesticks. The Moving Average Convergence Divergence also signaled a sale. This signal caused more bears to storm the market, and the bulls were given no chance until the major diagonal support was hit. Prices stayed more within the middle and lower bands, thereby revealing the bears’ dominance in the market. Currently, EURCHF is heading into the discount to execute buy orders in favor of the bulls.

Market Expectation

Ever since the 0.9960 resistance was hit, the market has been descending the crest on the four-hour chart. The market structure shift (MSS) and the break of structure (BOS) to the downside show that the directional bias of the market, for now, is downward. EURCHF is expected to reach the discount for buy orders before resuming the overall market trend.

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