The USD/CHF chart is currently indicating bearish momentum as the price is situated below a significant descending trend line, indicating the likelihood of further bearish momentum. Additionally, the price is testing a descending trend line, which is serving as resistance.
Considering the bearish momentum, there is a possibility that price may experience a bearish reaction off the 1st resistance at 0.8960, leading to a potential drop towards the 1st support at 0.8859. This support level is a multi-swing low support and has historically proven to be a robust level of support.
In the event that the price breaks below the 1st support, it may drop towards the 2nd support at 0.8763. This support level is a swing low support and has previously acted as a strong level of support.
However, if the price reverses and moves upwards, it may encounter resistance at the 1st resistance at 0.8960, which is an overlap resistance and has the potential to serve as a robust level of resistance.
If the price manages to break above the 1st resistance, it could rise towards the 2nd resistance at 0.9006, which is also an overlap resistance and could potentially act as a strong level of resistance.
The material has been provided by InstaForex Company – www.instaforex.com
The USD/CHF chart is currently indicating bearish momentum as the price is situated below a significant descending trend line, indicating the likelihood of further bearish momentum. Additionally, the price is testing a descending trend line, which is serving as resistance.
Considering the bearish momentum, there is a possibility that price may experience a bearish reaction off the 1st resistance at 0.8960, leading to a potential drop towards the 1st support at 0.8859. This support level is a multi-swing low support and has historically proven to be a robust level of support.
In the event that the price breaks below the 1st support, it may drop towards the 2nd support at 0.8763. This support level is a swing low support and has previously acted as a strong level of support.
However, if the price reverses and moves upwards, it may encounter resistance at the 1st resistance at 0.8960, which is an overlap resistance and has the potential to serve as a robust level of resistance.
If the price manages to break above the 1st resistance, it could rise towards the 2nd resistance at 0.9006, which is also an overlap resistance and could potentially act as a strong level of resistance.
The material has been provided by InstaForex Company – www.instaforex.com
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