CADCHF trend reversal
RSI bearish divergence has presented on the 12 hour time frame.
RSI has made a technical downtrend whilst price has continued to make a technical uptrend, making the divergence signal strong.
Most other Swiss currencies are appreciating which provides bearish support for a new downtrend on this pair.
Some depreciating pressure is also on other CAD pairs, supporting a bearish move for a new downtrend on this pair.
Price is currently close to an area of previous major resistance.
Wait for pullback to get best possible price before entering short.
Downside to this analysis is that price may push higher again, deeper into previous resistance area.
I would say there is more probability of a new downtrend taking place because of the weight of the other currencies pulling this currency into a new downtrend.
RSI has made a technical downtrend whilst price has continued to make a technical uptrend, making the divergence signal strong.
Most other Swiss currencies are appreciating which provides bearish support for a new downtrend on this pair.
Some depreciating pressure is also on other CAD pairs, supporting a bearish move for a new downtrend on this pair.
Price is currently close to an area of previous major resistance.
Wait for pullback to get best possible price before entering short.
Downside to this analysis is that price may push higher again, deeper into previous resistance area.
I would say there is more probability of a new downtrend taking place because of the weight of the other currencies pulling this currency into a new downtrend.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.