CHFUSD trade ideas
USD/CHF
Technical Analysis: USD/CHF
This is just a personal opinion.
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In these analyses, only technical analysis is considered
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USDCHF → The bullish trend may get its continuationOANDA:USDCHF is entering the realization phase after a prolonged correction. A favorable background is created by the uptrend and rising dollar
The technical outlook on the daily timeframe is very good. The price after breaking the trend resistance tested the previously broken line. The currency pair after the false breakout managed to consolidate above the key point, marking an interim bottom and further prospects.
Technically, the focus is on the resistance at 0.911, if the bulls can overcome this area and consolidate above this level, the currency pair will be able to realize a rise to 0.918 - 0.93.
Resistance levels: 0.911
Support levels: 0.90555
Before breaking the resistance, the currency pair could test 0.90555 due to the liquidity generated below this area. But, the trigger that can provoke further growth is 0.911
Regards MARKET ANALYZER
USDCHF: Should we look for a weaker franc?!The USDCHF pair is located between the EMA200 and EMA50 on the 4-hour timeframe and is moving in its ascending channel. In case of a downward correction towards the demand zone, we will be provided with further buying positions in this pair with an appropriate risk-reward ratio.
The continuation of the pair’s rise and its placement in the supply zone will provide us with a selling position.
The President of the Swiss National Bank (SNB), Schlegel, stated in an interview with SRF that while the SNB does not favor negative interest rates, it also cannot completely rule them out. He emphasized that implementing such a policy would not be a decision taken lightly.
In recent weeks, Schlegel has repeatedly mentioned the possibility of negative interest rates, particularly in light of Switzerland’s inflation dropping to 0.6% in December, which has raised concerns about deflation. However, he noted that temporary periods of negative inflation would not necessarily pose a problem.Additionally, Schlegel reaffirmed the SNB’s commitment to maintaining price stability over the medium term, within the 0–2% target range.
Currently, market expectations indicate a 60% probability that the SNB will cut interest rates from 0.5% to 0.25% in March, with a 25% chance of rates reaching 0% by June.
In the United States, GDP data for Q4 2024 showed that the economy grew at an annualized 2.3% rate—below market expectations (2.6%) and lower than the 3.1% growth seen in the previous quarter. However, a 2.5% year-over-year growth rate remains substantial and aligns with the Federal Reserve’s outlook.
A key takeaway from the recent GDP report is the strong performance of U.S. consumers, who exceeded expectations with 4.2% growth in spending. According to CIBC, American consumers have shown a notable preference for durable goods, with spending in this category surging 12.1% last quarter—a figure significantly above pre-pandemic trends.
However, CIBC warns that other sectors of the economy are not as strong. Business investments remain weak, and government spending has played a crucial role in supporting economic growth. Additionally, a 0.9% decline in inventories, driven by weather disruptions and labor strikes, has negatively impacted GDP growth.
These factors are expected to persist into Q1 2025, as businesses stockpile inventory ahead of potential tariffs. However, when stripping out inventory effects, final sales to domestic buyers remain strong at 3.1%, which is nearly in line with the two-year average.
CIBC also believes that consumer spending will remain resilient, supported by rising asset-related incomes and millennials’ enthusiasm for technology and discretionary spending. That said, trade tariffs could ultimately shave 1% off GDP growth, with their effects likely to linger for some time.
Overall, CIBC concludes that while GDP growth may slow slightly under a Trump presidency, the decline is unlikely to cause major concern for the Federal Reserve. Fed Chair Jerome Powell remains more focused on rising prices, their impact on inflation expectations, and wage pressures, as the economy remains strong but inflation is not yet fully controlled.
Today’s data reinforces the Fed’s data-dependent approach. Underlying growth is still around 3%, and there is no indication that consumers are scaling back spending, suggesting that they can absorb moderate price increases.
As a result, Nomura now expects the Federal Reserve to keep interest rates unchanged through the end of 2025, revising its earlier forecast, which had anticipated at least one rate cut in 2025.
An extended growthDollar Franc has been growing since August 2024, and is in a position to possibly extend this expansion. Price action is retesting the 0.92000 barrier, after reach it this month, January 2025. If the pair remains below this barrier, price may begin transitioning into a bearish trend.
However, if the current surge manages to breakthrough with an attitude of stabilizing above the resistance zone. An expansion of price is likely going to happen. If it does break and continue up. The above resistance zones may be areas where price action will probably correct, possibly settling a bit (days/weeks) and then continue up to the established W and M tops.
Price action is ranging with a Monthly correction phase.
USDCHF Is Going Up! Buy!
Please, check our technical outlook for USDCHF.
Time Frame: 12h
Current Trend: Bullish
Sentiment: Oversold (based on 7-period RSI)
Forecast: Bullish
The market is on a crucial zone of demand 0.908.
The oversold market condition in a combination with key structure gives us a relatively strong bullish signal with goal 0.922 level.
P.S
Please, note that an oversold/overbought condition can last for a long time, and therefore being oversold/overbought doesn't mean a price rally will come soon, or at all.
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USD/CHF SENDS CLEAR BEARISH SIGNALS|SHORT
Hello, Friends!
We are now examining the USD/CHF pair and we can see that the pair is going up locally while also being in a uptrend on the 1W TF. But there is also a powerful signal from the BB upper band being nearby, indicating that the pair is overbought so we can go short from the resistance line above and a target at 0.902 level.
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USDCHF: Correction Completed? Potential Short Setup AheaUSDCHF appears to have completed a five-wave decline, followed by a three-wave corrective structure in the form of a Zigzag (ABC) upward. This pattern aligns with Elliott Wave principles, suggesting that the correction may be coming to an end, paving the way for the next downward movement.
Key confirmation for further decline will come if the price fails to break above wave B and instead breaks below the 0.90311 level. A clean breakdown of this level would indicate that the correction is complete, and the next impulsive wave downward is in progress.
However, if the price consolidates above this level or starts forming a more complex corrective structure, we may need to consider an alternative scenario, such as an extended correction or even a larger-degree wave formation.
Should watch for strong bearish price action and increased momentum before entering short positions.
USDCHF Wave Analysis 29 January 2025
- USDCHF reversed from round support level 0.9000
- Likely to rise to resistance level 0.9100
USDCHF currency pair recently reversed up from the round support level 0.9000 (which has been reversing the price from the end of December) intersecting with the lower daily Bollinger Band.
The support level 0.9000 was further strengthened by the support trendline of the daily up channel from September and the 38.2% Fibonacci correction of the upward impulse from December.
Given the clear daily uptrend, USDCHF can be expected to rise further to the next resistance level 0.9100 (which reversed the pair earlier this month).
USDCHFPrice slightly missed my initial Daily long entry. So I bought at the retest of the 4hour support level.
FA: With Trump still positive on tariffs and inflation still a concern to the FED with FOMC decisions and Statements to be out soon the market expects hawkish statement from the FED chair today.... we could be surprised