USD/CHF Price Analysis: Bulls trying to take back control, building up for short squeeze to 0.9000 eyed

USD/CHF bulls are in the market and broke the 4-hour structure at 0.8926.
Meanwhile, a bearish 61.8% Fibonacci retracement aligns with the potential support structure.

USD/CHF is higher by some 0.4% and has rallied from a low of 0.8900 to a high of 0.8976 in a market that is trying to break higher in a short squeeze. The following illustrates the corrective bias for the meanwhile within a bearish trending market.

USD/CHF weekly charts

USD/CHF is offered and on the way to test the monthly support. However, the price is stalling and a correction could be on the cards for the coming days. A 50% mean reversion comes in at 0.9100.

USD/CHF daily chart

However, we are yet to see a bullish schematic playout on the daily chart with the price submerged below the trendline resistance without closing on the back side of it yet. The horizontal structure is located at 0.9003.

USD/CHF H4 charts

Then again, the bulls are in the market and broke the 4-hour structure at 0.8926. So long as the bulls commit, then a pullback into test the structure could be met with demand and a subsequent bullish structure will be put in. A 61.8% Fibonacci retracement aligns with the potential support structure. Below there, we have the 78.6% Fibo aligning with the neckline of the W-formation:

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.