EUR/USD Could Accelerate Higher While USD/CHF Turns Red

EUR/USD is gaining traction and it is trading above the 1.1280 and 1.1300 resistance levels. Conversely, USD/CHF is trading in a bearish zone and it could face sellers near 0.9550.

Important Takeaways for EUR/USD and USD/CHF

• The Euro stared a strong rise above 1.1200 and 1.1250 against the US Dollar.
• Recently, there was a break above a key triangle resistance at 1.1305 on the hourly chart of EUR/USD.
• USD/CHF declined heavily and it is now trading well below the 0.9550 level.
• There is a key bearish trend line forming with resistance near 0.9585 on the hourly chart.

EUR/USD Technical Analysis

This past week, the Euro started a decent upward move from the 1.1150 support against the US Dollar. The EUR/USD pair broke many hurdles near 1.1250 to move into a positive zone.

Moreover, there was a close above the 1.1300 resistance and the 50 hourly simple moving average. The last swing low was formed near 1.1240 on FXOpen and the recent high was near 1.1363.

During the rise, there was a break above a key triangle resistance at 1.1305 on the hourly chart of EUR/USD. The pair is currently consolidating gains and trading above the 1.1320 level.

It tested the 23.6% Fib retracement level of the recent upward move from the 1.1240 low to 1.1363 high. The first major support is seen near the 1.1300 level or near the broken triangle resistance.

The 50% Fib retracement level of the recent upward move from the 1.1240 low to 1.1363 high is also near the 1.1300 support along with the 50 hourly simple moving average. Any further losses may perhaps lead the pair towards the 1.1250 support zone.

On the upside, there is a major barrier for the bulls near the 1.1380 level, above which EUR/USD could rally significantly above the 1.1400 level in the near term.

USD/CHF Technical Analysis

The US Dollar started a major decline after it failed to clear the 0.9650 resistance against the Swiss franc. The USD/CHF pair broke the 0.9550 support level to move into a bearish zone.

It even settled below the 0.9520 level and the 50 hourly simple moving average. A low is formed near 0.9482 and the pair is currently correcting higher. It is trading near the 0.9510 level, with an immediate resistance near the 0.9520 level.

The 23.6% Fib retracement level of the recent decline from the 0.9650 high to 0.9482 low is also near the 0.9522 level. The next key resistance is visible near the 0.9550 level or the 50 hourly simple moving average.

The 50% Fib retracement level of the recent decline from the 0.9650 high to 0.9482 low is also near the 0.9566 level to stop the bulls. Finally, there is a key bearish trend line forming with resistance near 0.9585 on the hourly chart.

On the downside, an initial support is near the 0.9500 level. The main support is near the 0.9480 level, below which there is a risk of a sharp decline towards the 0.9440 support or 0.9420 level in the coming sessions.

Overall, USD/CHF could correct higher, but it is likely to face a strong selling interest near the 0.9550 and 0.9560 levels in the near term.