The EUR/USD pair has been on a rollercoaster ride, with the Euro surging against the US Dollar after breaking the 1.0950 resistance. Bulls pushed the pair above the 50-hour simple moving average and 1.1050, eventually testing the 1.1130 resistance. However, the pair is now consolidating gains above the 23.6% Fib retracement level. Immediate support lies near a connecting bullish trend line at 1.1090, with the next major support at the 50% Fib retracement level of 1.1050. A downside break below 1.1050 could send the pair towards 1.1000, potentially entering a bearish zone toward 1.0950. On the upside, immediate resistance is near 1.1130, with the first major resistance at 1.1150. Further gains could lead to a move towards the 1.1200 and 1.1220 levels, opening the doors for a move towards 1.1250.
USD/CHF Technical Analysis
In contrast, the USD/CHF pair has faced a decline after dropping below the 0.8635 and 0.8600 support levels. Bears pushed the pair below the 50-hour simple moving average and 0.8600, with support appearing near the 0.8520 level. The pair is currently consolidating losses, with potential resistance near the 23.6% Fib retracement level at 0.8575. Additionally, a major bearish trend line is forming with resistance near 0.8575. The next major resistance is at the 50% Fib retracement level of 0.8635. A clear break above this level could indicate a potential increase, with the pair possibly surpassing 0.8695. On the downside, immediate support is at 0.8520, followed by major supports at 0.8500 and 0.8480. Further losses may lead to a move towards 0.8450 in the coming days.
Final Thoughts
The EUR/USD and USD/CHF pairs have been exhibiting contrasting movements in the forex market. While the Euro has seen a bullish trend against the US Dollar, the US Dollar has faced challenges against the Swiss Franc. Traders and investors must closely monitor key levels of support and resistance to make informed decisions in their trading strategies. It is essential to consider factors such as market trends, economic indicators, and geopolitical events that may impact these currency pairs. With careful analysis and risk management, traders can navigate the volatility of the forex market and seize opportunities for potential profits.