Friday , January 28 2022
Home / SNB & CHF / EUR/CHF Price Analysis: Attempting corrective bounce amid oversold conditions

EUR/CHF Price Analysis: Attempting corrective bounce amid oversold conditions

Summary:
EUR/CHF is looking oversold, as per key daily chart indicator.  The hourly chart is reporting a triangle breakout.  A corrective bounce to the 5-day average hurdle could be in the offing.  EUR/CHF is looking to regain some poise from three-year lows reached on Wednesday. The pair is currently trading at 1.0775, representing marginal gains on the day, having hit a low of 1.0742 yesterday. That was the lowest level since April 2017. The bounce could be extended further, as the 14-day relative strength index (RSI) is hovering well below 30 for the first time since August 2018, indicating extreme oversold conditions. EUR/CHF, Daily chart(see more posts on EUR/CHF, ) - Click to enlarge Further, the hourly chart shows a descending triangle breakout and a bullish

Topics:
Omkar Godbole considers the following as important: , , ,

This could be interesting, too:

Justin Low writes SNB says successfully tested use of digital currency to settle transactions with top investment banks

Cash writes SNB erwartet für 2021 Jahresgewinn von 26 Mrd. Franken

Swiss National Bank writes BIS, SNB and SIX successfully test integration of wholesale CBDC settlement with commercial banks

Swiss National Bank writes Swiss National Bank expects annual profit of around CHF 26 billion for 2021

  • EUR/CHF is looking oversold, as per key daily chart indicator. 
  • The hourly chart is reporting a triangle breakout. 
  • A corrective bounce to the 5-day average hurdle could be in the offing. 

EUR/CHF is looking to regain some poise from three-year lows reached on Wednesday.

The pair is currently trading at 1.0775, representing marginal gains on the day, having hit a low of 1.0742 yesterday. That was the lowest level since April 2017.

The bounce could be extended further, as the 14-day relative strength index (RSI) is hovering well below 30 for the first time since August 2018, indicating extreme oversold conditions.

EUR/CHF, Daily chart

(see more posts on EUR/CHF, )
EUR/CHF Price Analysis: Attempting corrective bounce amid oversold conditions

- Click to enlarge

Further, the hourly chart shows a descending triangle breakout and a bullish divergence of the relative strength index.

The pair could challenge the 5-day average hurdle at 1.0777.

Trend: Corrective bounce likely

EUR/CHF, Hourly chart

(see more posts on EUR/CHF, )
EUR/CHF Price Analysis: Attempting corrective bounce amid oversold conditions

- Click to enlarge


Tags: ,

Leave a Reply

Your email address will not be published. Required fields are marked *