Thursday, September 12, 2024

USDCHF Market Update: Key Levels to Watch

The USDCHF has recently bounced back from a low of 0.8374, climbing up to 0.8532. However, this upward movement is facing resistance at a falling trend line on the 4-hour chart.

As long as this trend line holds, we may consider the bounce from 0.8374 as a consolidation phase within the broader downtrend that began with the July 3 high of 0.9050. If the consolidation continues, another drop towards 0.8300 could be on the horizon.

Key Support and Resistance Levels

  • Initial Support: The first support level to watch is at 0.8480. A decline below this could push the price down to the next support at 0.8430. If this level fails to hold, we could see the price aim for the previous low of 0.8374, followed by a potential drop to 0.8300.

  • Upside Potential: On the flip side, if the price breaks above the trend line resistance, it would suggest that the downward movement from 0.9050 has potentially ended at 0.8374. In this scenario, the next targets to keep an eye on would be around 0.8630, followed by 0.8730.

by ForexCycle

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