Baxia Markets
July 13, 2021

USDCHF Meets Resistance

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The downward trend on USDCHF had started at the beginning of April. During the next 49 days, the price went down 5.7%; we cannot say this was a sharp drop, but we can say it was a stable trend because of the long period. As we know, it is always hard to break out of a steady trend, so the support power on June 8th was strong.



The upward trend started on June 15th, and it only took ten days to reach the 61.8% Fibonacci level, which was about a 3.8% rise. Will the price break out the 61.8% level Fibonacci?




For now, we can see that the Bollinger Bands have shrunk, which was a signal of breakout. Standard deviation just comes down from a high level because the price is hovering in a small range recently. SAR Parabolic made a downward trend; this was because of the comparatively significant drop on July 8th. Although the previous movement could explain the bearish signal, the bull power indicates a diminishing support power. 


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