Chart USD/CHF Update: Room for lower
Cautious trade around 0.8200 has given way to anticipated losses
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8350 | * | break level | S1 | 0.8150 | congestion | ||
| R3 | 0.8300 | * | congestion lows | S2 | 0.8120 | ** | 61.8% ret of Aug-Oct rally | |
| R2 | 0.8250 | congestion | S3 | 0.8100 | ** | congestion | ||
| R1 | 0.8200 | * | congestion | S4 | 0.8055 | ** | 76.4% ret of Aug-Oct rally |
Asterisk denotes strength of level
09:15 GMT - Cautious trade around 0.8200 has given way to anticipated losses, as intraday studies turn down, with prices testing below congestion support at 0.8150 before settling into consolidation around 0.8160. Daily readings are bearish and broader weekly charts are also under pressure, highlighting a further deterioration in sentiment and room for deeper losses in the coming sessions. A close below 0.8150 will add fresh weight to sentiment and extend losses from the 0.8395 current year high of 14 October initially to the 0.8120 Fibonacci retracement. Beneath here is congestion around 0.8100.
Meanwhile, resistance remains at congestion around 0.8200. A close above here, if seen, will help to stabilise price action and prompt consolidation beneath 0.8250.