EUR/USD is recovering, but it is facing hurdles near 1.1840 and 1.1850. USD/CHF is approaching a crucial breakout and the pair might surge if it clears 0.9100.
Important Takeaways for EUR/USD and USD/CHF
- The Euro started an upside correction from the 1.1750 support level against the US Dollar.
- There are two bearish trend lines forming with resistance near 1.1825 and 1.1850 on the hourly chart of EUR/USD.
- USD/CHF is trading nicely above the main 0.9050 and 0.9080 support levels.
- There is a key contracting triangle forming with resistance near 0.9100 on the hourly chart.
EUR/USD Technical Analysis
In the past few days, the Euro followed a larger decline from well above the 1.1900 level against the US Dollar. The EUR/USD pair broke the 1.1850 support zone to move into a bearish zone.
The pair even settled below the 1.1820 level and the 50 hourly simple moving average. It traded as low as 1.1754 and it is currently correcting higher. However, the pair seems to be facing hurdles near the 1.1840 and 1.1850 levels.
A swing high is formed near 1.1849 on FXOpen and the pair is currently consolidating in a range. It tested the 50% Fib retracement level of the upward move from the 1.1754 low to 1.1849 high.
On the upside, there are two bearish trend lines forming with resistance near 1.1825 and 1.1850 on the hourly chart of EUR/USD. The second bearish trend line is important near the 1.1850 level. A successful close above the 1.1850 resistance is needed for a fresh increase.
The next major resistance on the upside could be 1.1920. Conversely, the pair may continue to move down below the 1.1800 level. An immediate support is near the 1.1790 level. It is close to the 61.8% Fib retracement level of the upward move from the 1.1754 low to 1.1849 high.
Any further losses may perhaps lead the pair towards the 1.1750 support level in the coming sessions.
USD/CHF Technical Analysis
The US Dollar started a short-term downside correction after it rallied towards the 0.9150 level against the Swiss franc. The USD/CHF pair corrected below the 0.9100 level, but the pair remained well bid above the 0.9080 support.
A low is formed near 0.9073 and the pair is currently rising. It is trading above the 0.9090 level and testing the 50% Fib retracement level of the recent decline from the 0.9126 high to 0.9073 low.
It seems like there is a key contracting triangle forming with resistance near 0.9100 on the hourly chart. The triangle resistance is close to the 61.8% Fib retracement level of the recent decline from the 0.9126 high to 0.9073 low.
A successful close above the 0.9110 and 0.9120 levels, plus the 50 hourly simple moving average might start a steady increase. The next major resistance on the upside is seen near the 0.9150 and 0.9160 levels.
On the downside, the triangle support is near the 0.9080 level. If the USD/CHF pair fails to stay above the 0.9080 support level, it could decline steadily in the near term.
The next major support on the downside is near the 0.9060 level, below which the pair might continue to slide towards the 0.9020 and 0.9000 support levels.
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