Published: 2024-04-19T08:14:18.000Z
Chart EUR/CHF Update: Sharp losses giving way to a sharp bounce - studies under pressure
Senior Technical Strategist
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The sharp spike lower has bounced smartly from support at 0.9550/60
Levels | Imp | Comment | Levels | Imp | Comment | |||
R4 | 0.9900 | ** | 76.4% ret of 2023 fall | S1 | 0.9684/94 | ** | Sep-Nov highs | |
R3 | 0.9842/48 | ** | 22 Jun (m); 4 Apr YTD highs | S2 | 0.9620 | * | 38.2% ret of Dec-Apr rally | |
R2 | 0.9800 | * | congestion | S3 | 0.9600 | * | congestion | |
R1 | 0.9760 | * | break level | S4 | 0.9550/60 | ** | 50% ret of Dec-Apr rally; 7 Mar (w) low | |
*Asterisk denotes strength of level
09:05 BST - The sharp spike lower has bounced smartly from support at 0.9550/60, with prices currently balanced in cautious trade around support at 0.9684/94. Daily readings are turning down once again 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 0.9684/94 will add weight to already bearish price action and confirm a near-term top in place at the 0.9848 current year high of 4 April. Subsequent focus will then turn initially to the 0.9620 Fibonacci retracement and congestion around 0.9600. Meanwhile, resistance remains at 0.9760 and is expected to cap any fresh tests higher.