USDCHF Price Analysis – March 20
The Double Top pattern formed on USDCHF market aided the declination of USDCHF price. The price is heading towards the demand level of $0.99. In case the $0.99 price level does not hold, the Bears will break it down and target $0.97 price level.
Supply levels: $1.01, $1.03, $1.05
Demand levels: $0.99, $0.97, $0.95
USDCHF Long-term trend: Bearish
The currency pair topped at the supply level of $1.01 on February 13, continuation of the bullish trend was terminated by the sellers’ pressure, the break out at the supply level of $1.01 was impossible. The Bears took over and pushed the currency pair down to the demand level of $0.99 with strong bearish candles. The support level holds and further price reduction was impossible on February 28. The Bulls return the coin to the previous high to form the “double top” pattern.
On the daily chart, USDCHF has been falling from the high of $1.01 towards the demand level of $0.99 and that price level may be its target. In case the demand level of $0.99 does not hold, the currency pair will find its support at $0.97 price level. Meanwhile the Stochastic Oscillator period 14 is at 40 levels with the signal lines point down which indicate further declination of USDCHF price.
USDCHF Medium-term Trend: Bullish
USDCHF is on the downtrend on the 4-hour chart. The Bears hold tight to the USDCHF market by pushing the currency pair down the market. Formation of more bearish candles was aided by the double top pattern formed.
The 21 periods EMA has crossed the 50 periods EMA downward with the USDCHF price trading below the two EMAs which indicates strong sell signal. The stochastic Oscillator period 14 is found below 40 levels and the signal lines pointing down indicate sell.
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