EURCHF Analysis: Sellers Are Reserving Their Strength
EURCHF sellers are holding back. The currency pair is currently in a situation where sellers are struggling to push the price lower. Despite their efforts, the bears lack the necessary momentum to drive the price down. Meanwhile, the buyers have attempted to gain control of the market but have been unsuccessful in finding equilibrium.
EURCHF Key Levels
Resistance Levels: 1.00200, 0.98570
Support Levels: 0.96900, 0.93980
Over the past week, the bears have been assertive, resulting in a breakthrough. This persistent bearish trend has been ongoing for some time. This led to a lower high near the significant level of 0.96900 at the beginning of the month. However, the buyers have been unable to counter the selling pressure. This has led to a display of selling sentiment for October.
Currently, the buyers are making an effort to halt the prevailing selling sentiment and initiate a pullback. In the upcoming week, there is a possibility of a decline in price towards the significant level of 0.93980. Following this decline, the buyers may regain strength and attempt to create higher price levels within the bearish market.
The momentum indicator on the daily chart is showing a decline. It implies that the bears are losing their intensity to push the price lower.
Market Expectation
Moreover, the Moving Average Crossing is acting as a resistance line, reinforcing the bearish sentiment in the market. This implies that sell traders might continue to exert pressure on the price. It will potentially push it further down towards the key zone at 0.93980.
The market may see a decline in the coming week, followed by a potential resurgence of buyers in the bearish market. Traders should keep an eye on the key support level at 0.93980 for potential price movements.
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