FX News Today | EURUSD Analysis

USDCHF Daily Forecast: Opportunity To Short

After a bull correction the pair has hit a sideway resistance and also another resistance giving an action level where we formed a rounded top this shows bears have seen and acknowledged the level and anticipating short set ups this week. The hanging man pattern from the day before yesterday on the USDCHF Daily Forecast chart, continues to indicate a potential topping structure into the next days or weeks.

USDCHF Daily Forecast

USDCHF Momentum Short

The signal may be either taken by trend-following traders as a trigger to liquidate long positions as by potential sellers to prepare their short commitments.

USDCHF Daily Forecast

USDCHF Bounces Off

The pair is now retreating 0.52% at 0.9889 facing the next support at 0.9849 (200-day sma) ahead of 0.9832 (20-day sma) and then 0.9648 (low May 6). On the other hand, a breakout of 0.9960 (high May 30) would aim for 1.0098 (high Mar.10) and finally 1.0262 (high Jan.29).

USDCHF Daily Forecast


USD will remain in centre stage later in the NA session, as the Fed’s Beige Book is also due for release. In Switzerland, GDP figures for the first quarter and April’s retail sales have come in on the soft side, while SVME PMI has surprised to the upside.

USDCHF Daily Forecast

The prevailing environment keeps favouring the risk aversion, prompting investors to rush into the safe haven CHF and exacerbate the already bearish note of the pair. While these momentum extremes could migrate to higher time frames, the latest hourly MACD print shows dissipation of speed, thus communicating risks of a immediate upside vulnerability.