Market Analysis: EUR/USD Rebound Continues as USD/CHF Nears Key Inflection Point

EUR/USD is attempting a recovery wave from the 1.1400 zone. USD/CHF climbed higher above 0.7900 before it started a downside correction.

Important Takeaways for EUR/USD and USD/CHF Analysis Today

· The Euro declined toward 1.1400 before it started a recovery wave against the US Dollar.

· There was a break above a major bearish trend line with resistance at 1.1500 on the hourly chart of EUR/USD at FXOpen.

· USD/CHF climbed higher above 0.7850 and 0.7900 before it faced hurdles.

· There was a break below a bullish trend line with support at 0.7870 on the hourly chart at FXOpen.

EUR/USD Technical Analysis

On the hourly chart of EUR/USD at FXOpen, the pair extended the decline below 1.1500. The Euro even declined below 1.1440 before the bulls appeared against the US Dollar.

The pair tested 1.1410 and recently started a recovery wave. There was a move above 1.1450 and 1.1480. The pair climbed above the 38.2% Fib retracement level of the downward move from the 1.1667 swing high to the 1.1410 low.

More importantly, there was a break above a major bearish trend line with resistance at 1.1500. The pair is now trading above 1.1520 and the 50-hour simple moving average. Immediate hurdle on the EUR/USD chart is near the 61.8% Fib retracement at 1.1570.

The first key breakout zone sits at 1.1605. An upside break above 1.1605 might send the pair toward 1.1665. Any more gains might open the doors for a move toward the 1.1700 zone. If there is a fresh decline, the pair might find bids near 1.1505.

The next major support is 1.1470. A downside break below 1.1470 could send the pair toward 1.1410. Any more losses might send the pair to 1.1360.

USD/CHF Technical Analysis

On the hourly chart of USD/CHF at FXOpen, the pair started a decent increase from 0.7750. The US Dollar climbed above the 0.7800 handle against the Swiss Franc.

The bulls were able to pump the pair above the 50-hour simple moving average and 0.7850. Finally, the pair tested 0.7920. A high was formed near 0.7923 and the pair is now correcting some gains. The pair dipped below the 38.2% Fib retracement level of the upward move from the 0.7748 swing low to the 0.7923 high.

Besides, there was a break below a bullish trend line at 0.7870. On the downside, immediate support on the USD/CHF chart is near the 50% Fib retracement at 0.7835. The first key area of interest might be 0.7790.

A downside break below 0.7790 might call for a drop to 0.7750. Any more losses may possibly open the doors for a move toward 0.7720.

On the upside, the pair could struggle near 0.7875. The first major barrier for bulls is 0.7890. If there is a clear break above 0.7890 and the RSI climbs above 50, the pair could start another increase. In the stated case, it could test 0.7925.