EUR/USD Resumes Increase While USD/CHF Could Breakdown
EUR/USD gained pace above the 1.0850 resistance zone. USD/CHF is declining and remains at a risk of more losses below the 0.9220 support.
Important Takeaways for EUR/USD and USD/CHF
· The Euro started a fresh increase above the 1.0850 resistance against the US Dollar.
· There is a key bullish trend line forming with support near 1.0845 on the hourly chart of EUR/USD.
· USD/CHF started a fresh decline below the 0.9260 and 0.9250 support levels.
· There is a major bullish trend line forming with support near 0.9220 on the hourly chart.
EUR/USD Technical Analysis
In the past few days, the Euro started a steady increase from the 1.0780 zone against the US Dollar. The EUR/USD pair gained pace above the 1.0820 level to move into a bullish zone.
The pair even climbed above the 1.0850 resistance and settled above the 50 hourly simple moving average. It traded as high as 1.0927 on FXOpen and recently started a downside correction. There was a move below the 1.0880 level.
The pair traded as low as 1.0835 and is currently rising. There was a clear move above the 50% Fib retracement level of the recent decline from the 1.0927 swing high to 1.0835 low.
An immediate resistance is near the 1.0900 level. It is near the 76.4% Fib retracement level of the recent decline from the 1.0927 swing high to 1.0835 low. The next major resistance is near the 1.0920 level.
A clear move above the 1.0920 resistance zone could set the pace for a larger increase towards 1.0965. The next major resistance is near the 1.1000 zone. On the downside, an immediate support is near the 1.0880 level.
The next major support is near the 1.0850 level. There is also a key bullish trend line forming with support near 1.0845 on the hourly chart of EUR/USD. A downside break below the 1.0850 support could start another decline.
USD/CHF Technical Analysis
The US Dollar started a fresh decline from well above the 0.9275 level against the Swiss franc. The USD/CHF pair traded below the 0.9260 support to move into a bearish zone.
There was a clear move below the 0.9240 support and the 50 hourly simple moving average. The bears even pushed the pair below the 50% Fib retracement level of the upward move from the 0.9192 swing low to 0.9279 high.
On the downside, an immediate support is near the 0.9220 level. There is also a major bullish trend line forming with support near 0.9220 on the hourly chart.
The trend line is near the 76.4% Fib retracement level of the upward move from the 0.9192 swing low to 0.9279 high. The next major support is near the 0.9190 level. Any more losses may possibly open the doors for a move towards the 0.9150 level or even 0.9120 in the coming sessions.
An immediate resistance is near the 0.9240 level. The next major resistance is near the 0.9250 level. If there is a clear break above the 0.9250 resistance zone, the pair could start another increase. In the stated case, it could test 0.9300.
This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.