Chart USD/CHF Update: Leaning lower
Cautious trade has given way to a sharp break lower
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8395/00 | ** | 14 Oct YTD high; 50% ret | S1 | 0.8200 | * | congestion | |
| R3 | 0.8350 | * | break level | S2 | 0.8175 | ** | 50% ret of Aug-Oct rally | |
| R2 | 0.8300 | * | congestion lows | S3 | 0.8150 | congestion | ||
| R1 | 0.8250 | congestion | S4 | 0.8120 | ** | 61.8% ret of Aug-Oct rally |
Asterisk denotes strength of level
09:30 GMT - Cautious trade has given way to a sharp break lower, with prices reaching congestion support at 0.8200 before settling into choppy trade around 0.8210. Positive daily readings have turned bearish and broader weekly charts are also coming under pressure, highlighting a deterioration in sentiment and room for deeper losses in the coming sessions. A close below 0.8200 will add weight to sentiment and extend losses from the 0.8395 current year high of 14 October towards the 0.8175 Fibonacci retracement. Beneath here is congestion around 0.8150.
Meanwhile, resistance is at congestion around 0.8250. A close back above here, if seen, will help to stabilise price action and prompt consolidation beneath 0.8300.