EUR/USD started a fresh decline below the 1.1800 and 1.1780 support levels. USD/CHF is rising and it is likely to continue higher above 0.9450.
Important Takeaways for EUR/USD and USD/CHF
- The Euro started a fresh drop below the 1.1850 and 1.1800 support levels against the US Dollar.
- There is a major bearish trend line forming with resistance near 1.1755 on the hourly chart of EUR/USD.
- USD/CHF is trading in a bullish zone above the 0.9350 resistance zone.
- There is a key ascending channel forming with support near 0.9405 on the hourly chart.
EUR/USD Technical Analysis
The Euro failed to stay above the 1.1900 zone and started a fresh decline against the US Dollar. The EUR/USD pair broke the key 1.1850 pivot zone to move into a bearish zone.
The pair even broke the 1.1820 support level and settled below the 50 hourly simple moving average. The bears were able to push the pair below 1.1800 and a low is formed near 1.1709 on FXOpen.
It is currently showing a lot of bearish signs and it seems like there are high chances of more losses below the 1.1700 support zone. The next major support could be near the 1.1660 level, below which the pair may possibly test the 1.1620 support.
On the upside, an initial resistance is near the 1.1730 level. It is close to the 23.6% Fib retracement level of the recent decline from the 1.1804 high to 1.1709 low.
There is also a major bearish trend line forming with resistance near 1.1755 on the hourly chart of EUR/USD. The trend line is close to the 50% Fib retracement level of the recent decline from the 1.1804 high to 1.1709 low.
The 50 hourly simple moving average is also near 1.1760. If there is a break above the trend line resistance, the pair could correct higher towards the 1.1800 zone. The next major resistance is near the 1.1850 level.
USD/CHF Technical Analysis
The US Dollar formed a strong support near the 0.9240 level and started a fresh increase against the Swiss franc. The USD/CHF pair broke many key barriers near 0.9350 to move further into a positive zone.
The pair gained pace above the 0.9400 resistance and the 50 hourly simple moving average. There was also a break above the 0.9420 resistance zone. A high was formed near 0.9438 before the pair started a downside correction.
USD/CHF corrected lower below the 23.6% Fib retracement level of the upward move from the 0.9374 swing low to 0.9438 high. On the downside, there is a key support forming near the 0.9405 and 0.9400 levels.
There is also a key ascending channel forming with support near 0.9405 on the hourly chart. The channel support is near the 50% Fib retracement level of the upward move from the 0.9374 swing low to 0.9438 high.
The 50 hourly simple moving average is also near the channel support and 0.9400. If there is a downside break below 0.9400, the pair could correct lower towards the 0.9350 support.
On the upside, the 0.9440 level is an initial resistance. The next key resistance is near the 0.9450 level, above which USD/CHF is likely to accelerate higher towards the 0.9500 level.