- USD/CHF continues rising and might have established a medium-term uptrend.
- It is likely to continue higher although it is potentially overbought and a downside gap risks closing.
USD/CHF is rising up and forming a sequence of higher highs and higher lows which indicates it is probably in both a short and – now also – a medium term uptrend. Given it is a key tenet of technical analysis that “the trend is your friend” the odds favor more upside to come.
USD/CHF 4-hour Chart
USD/CHF could continue rising until it reaches the next target to the upside which was generated when it broke out of the range. This target lies at 0.8680, the 100% Fibonacci (Fib) extrapolation of the height of the range higher. It has already met the conservative target at 0.8627, the 61.8% Fib level.
The Relative Strength Index (RSI) is in overbought territory and if it remains there on a closing basis it will advise traders not to add to their existing long positions.
A chart gap opened on Monday morning and there is a risk the market could pull back to fill this gap at some point.
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USD/CHF Price Prediction: Unfolding down leg within range
2024-09-27
USD/CHF is trading lower within a range formed since August.
It is in a sideways trend and a decisive breakout would be required to give directionality.
USD/CHF continues trading up and down within a range. It is probably in a sideways trend, which given the principle that “the trend is your friend” is likely to endure.
USD/CHF 4-hour Chart
USD/CHF is currently moving down within the range and it will probably reach at least as far as the 0.8415, the September 25 lows. A particularly bearish move might even fall to the 0.8400 floor. After that it will probably recover and continue the sideways trend.
The Moving Average Convergence Divergence (MACD) momentum indicator is below the signal and the zero lines indicating bearishness.
A decisive break out of the
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