USDCHF Analysis: Bears Regain Control in the Market
The USDCHF traders have been clashing in the market as the bears have regained control. For the past few days, the bulls have been trying to push the price higher but have been unsuccessful in the face of the powerful bearish trend. Despite the bullish strength from the trend channel, the sellers have managed to break through the 0.94340 key zone, causing a major hit to the price trend. This was followed by a descent to the 0.88940 key zone before the buyers made their move into the market. Now the bears are resuming their voyage, aiming to push the currency pair lower.
USDCHF Key Levels
Resistance Levels: 1.01450, 0.98430
Support Levels: 0.94340, 0.88940
The Moving Averages crossing is currently providing resistance, and it is uncertain whether the bulls will be able to make a significant push against the sellers. The situation is highly volatile, with neither side having a solid hold on the market. As the conflict between the bulls and bears continues, investors are advised to keep an eye on the key levels and be prepared for a rapid change in the market.
The trend channel, which had initially been a major source of bullish strength, has been significantly weakened. This indicates that the battle between the buyers and sellers is far from over, and that volatility is highly likely to characterize the USDCHF market shortly. The 0.88940 key zone is an important price point for traders to watch, as it acts as a support or resistance level depending on which direction the price is moving. If the price dips below this level, then it is likely that the sellers will have a stronger presence in the market. On the other hand, if the price rises above this level, then the buyers are likely to make gains.
Market Expectation
Recent market activity has seen buyers take some ground back from the sellers, however, the Chaikin Oscillator indicator is still indicating a negative trend in price flow. This means that the sellers are still in control, and traders should be prepared for further dips below the 0.88940 key zone.
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.
Leave a Reply