EURCHF Reaccumulates Below the 0.98480 Resistance

EURCHF Analysis – Sets to Resume its Bullish Trend

EURCHF reaccumulates below the 0.98480 resistance. The ongoing bullish trend began in January 2024. The bears exited the market as the year 2023 came to an end. The market’s overall trend is now set to resume as the price experiences a reaccumulation below the 0.98480 resistance.

EURCHF Market Levels

Resistance Levels: 0.98480, 1.00970
Support Levels: 0.95630, 0.92540 
Until the year 2024 began, the overall trend of the market was bearish. Since the successful invalidation of the previous support at 0.98480, EURCHF has kept making lower highs and lower lows. EURCHF bounced off the 0.98480 price level in June 2023, after which it consolidated for a short while at 0.95630. The consolidation happened as a result of the buying pressure at the 0.95630 support. Following the consolidation, the price gyrated about 0.95630 until a final dive into the discount zone.
 
The last BOS (Break Of Structure) in the bearish trend occurred at 0.94030. The price crashed lower, hitting the 0.92540 support and rebounding afterward. The change in the market’s trend to the upside was a result of the failure swing at the discount zone. The subsequent rally into the premium zone strengthens bullish sentiments as the overall market trend becomes bullish. EURCHF recently experienced a sell-side liquidity grab at 0.95700. This has propelled the price upward, thereby leading to the continuation of the market’s bullish trend.

Market Expectation 

The recent sell-side liquidity grab has led to a market structure shift to the upside on the four-hour chart. However, a short-term retracement is impending as the market is currently overbought as per the indication of the RSI.

Note: Forexschoolonline.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results