USDCHF downtrend continuation capped at 0.7985The USDCHF pair is currently trading with a bearish bias, aligned with the broader downward trend. Recent price action shows a retest of the resistance, suggesting a temporary relief rally within the downtrend.
Key resistance is located at 0.7985, a prior consolidation zone. This level will be critical in determining the next directional move.
A bearish rejection from 0.7985 could confirm the resumption of the downtrend, targeting the next support levels at 0.7915, followed by 0.7890 and 0.7870 over a longer timeframe.
Conversely, a decisive breakout and daily close above 0.7985 would invalidate the current bearish setup, shifting sentiment to bullish and potentially triggering a move towards 0.8000, then 0.8030.
Conclusion:
The short-term outlook remains bearish unless the pair breaks and holds above 0.7985. Traders should watch for price action signals around this key level to confirm direction. A rejection favours fresh downside continuation, while a breakout signals a potential trend reversal or deeper correction.
This communication is for informational purposes only and should not be viewed as any form of recommendation as to a particular course of action or as investment advice. It is not intended as an offer or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction. Opinions, estimates and assumptions expressed herein are made as of the date of this communication and are subject to change without notice. This communication has been prepared based upon information, including market prices, data and other information, believed to be reliable; however, Trade Nation does not warrant its completeness or accuracy. All market prices and market data contained in or attached to this communication are indicative and subject to change without notice.
