Unless breaking seven-week old ascending trend-line, at 0.9890 now, the USDCHF is less likely to extend its recent pullback towards 0.9850 and the 0.9820 support-levels. However, pair’s dip beneath the 0.9820 isn’t a sure signal for its plunge as 0.9780-90 horizontal-region, followed by the 200-day SMA level of 0.9750, may still challenge the sellers. On the contrary, the 0.9955 and the 0.9990 can entertain short-term buyers of the pair, breaking which there are multiple resistances between the 1.0035-70 area to watch. In case prices rally beyond 1.0070 on a daily closing basis, the 1.0100 and the 61.8% FE level of 1.0175 may appear in the Bulls’ radar to target.
Alike USDCHF, the EURCHF’s downside is also capped by the immediate support, herein it is the 1.1595-85 zone, that may trigger the pair’s U-turn towards nearby TL resistance figure of 1.1615. Should the quote surpasses 1.1615 barrier, it can rise to 1.1640 and then to the 1.1655-60 whereas 1.1680 and the 1.1715 may question the pair’s additional strength. If at all the pair refrains to respect the 1.1595-85 support-zone, the 1.1550 and the 1.1500 can mark their presence on the chart. Also, pair’s successful trading past-1.1500 can highlight the importance of the 1.1475, the 1.1460 and the 1.1365 supports.
GBPCHF’s recovery from nine-month old ascending trend-line may support the pair to aim for the 1.3125 and the 50-day SMA level of 1.3165 but a downward slanting TL stretched since April can confine its further upside around 1.3210. Given the pair’s D1 close above 1.3210, the 1.3270 and the 100-day SMA level of 1.3335 may please the optimists. Meanwhile, the 1.3020 can offer rest to the pair’s adjacent downturn, breaking which the 1.2970 trend-line could grab investor attention. Though, break of 1.2970 on a daily closing basis can make the pair vulnerable enough to plunge towards the 1.2910 and the 1.2850 supports.
Even after reversing from 111.70, the CHFJPY’s up-moves may soon struggle to conquer the 112.15-20 horizontal-resistance, which if broken could escalate its rise to confront the 112.60 and the 113.00 hurdles to north. Let’s say the pair manage to clear the 113.00 mark, then it can rally to the 113.25 and the 113.65, comprising 61.8% FE, resistance-levels. Alternatively, the quote’s dip below 111.70 may avail the 111.35 trend-line as a point to take a U-turn, failing to which can drag the pair to 111.00 and the 110.60 numbers. Should prices keep declining post-110.60, the 110.30 and the 109.75 may act as buffers during its south-run to 109.00 round-figure support.
This article was originally posted on FX Empire
More From FXEMPIRE:
- USD/CAD Daily Price Forecast – USD/CAD Stuck at 1.31 Handle amid Subdued US Greenback
- The Full Guide to Kodak Coin: How to Buy and How to Use it
- Trump, Fed Have to Share Blame for Red Flags in U.S. Housing Sector
- Oil Price Fundamental Daily Forecast – Bullish EIA Gasoline Number Could Spike Crude Higher
- Forex Daily Outlook – July 25, 2018
- Three Great Trading Setups: One Rectangle and Two Triangles