EUR/USD Tumbles While USD/CHF Is Rising Steadily

EUR/USD declined below the key 1.1205 support area to move into a significant downtrend. Conversely, USD/CHF is climbing higher steadily and recently broke the 0.9850 resistance area.

Important Takeaways for EUR/USD and USD/CHF

• The Euro declined heavily and broke many supports near the 1.1200 level against the US Dollar.
• There is a key bearish trend line forming with resistance near 1.1165 on the hourly chart of EUR/USD.
• USD/CHF is slowly moving higher after forming a support base near the 0.9800 level.
• There was a break above a major bearish trend line with resistance near 0.9844 on the hourly chart.

EUR/USD Technical Analysis

The Euro topped above the 1.1270 level and later started a major decline against the US Dollar. The EUR/USD pair broke many important support levels near the 1.1240 and 1.1220 levels to enter a bearish zone.

More importantly, the price broke the key 1.1200 support zone and declined heavily. Moreover, there was a close below the 1.1200 level and the 50 hourly simple moving average. The pair traded as low as 1.1143 on FXOpen and it is currently consolidating losses.

An immediate resistance is near the 1.1160 level. The 23.6% Fib retracement level of the last decline from the 1.1225 high to 1.1143 low is also near the 1.1162 level.

Moreover, there is a key bearish trend line forming with resistance near 1.1165 on the hourly chart of EUR/USD. Therefore, the pair might struggle to break the 1.1160 resistance level in the near term.

Above the trend line, the next resistance is near the 1.1185 level, the 50 hourly simple moving average, and the 50% Fib retracement level of the last decline from the 1.1225 high to 1.1143 low.

However, the main resistance is near the 1.1200 level (the previous support area). If there is a close above 1.1200, the pair could start a fresh increase.

On the downside, an immediate support is near the 1.1140 level. If there are more losses, the pair is likely to test the 1.1120 and 1.1110 levels in the coming sessions.

USD/CHF Technical Analysis

The US Dollar found support near the 0.9800 level after heavy declines against the Swiss franc. The USD/CHF pair started a decent upward move and broke the 0.9840 and 0.9850 resistance levels.

Moreover, there was a close above 0.9850 level and the 50 hourly simple moving average. The pair even traded above a major bearish trend line with resistance near 0.9844 on the hourly chart.

Recently, there was a break above the 50% Fib retracement level of the downward move from the 0.9908 high to 0.9804 low. It opened the doors for more gains above the 0.9860 level.

An immediate resistance is near the 0.9870 level plus the 61.8% Fib retracement level of the downward move from the 0.9908 high to 0.9804 low. If there is an upside break above 0.9870, the pair could accelerate above the 0.9880 level.

The next major resistance is near the 0.9900 level, followed by the 0.9908 swing high. Conversely, if there is a downside correction, the 0.9850 and 0.9840 levels are likely to act as strong supports in the near term.

Overall, pairs like EUR/USD and GBP/USD are currently trading in a bearish zone, and USD/CHF might continue to rise.