$USDCHF - Triangle breakout

١٧ مارس ٢٠٢١

Hi guys! 👋🏻

🔔 US Dollar gains ahead of FOMC meeting, despite negative housing stats and building permits data, +0.50% against the Swiss Franc.

🔔 The year has started unfortunate for the Swiss Franc as the CHF lost 6.33% to GBP, 2.15 to Euro and 5% to Australian Dollar.

🔔 The negative rates kept by the SNB, causing the inflation to remain negative, for the second month in a row the inflation in Switzerland remains -0.5%. Though the deflation has significantly improved, according to the data the state is still in deflation mode for a consecutive year. Incomes of the Swiss National Bank have dropped significantly in 2020, resulting in a total loss of 27,982.1M CHF.

🔔 USD/CHF is in a correction mode in a whole week since March 10, after a trend reversal early this year. The breakout from the descending ending diagonal supported the uptrend of the US Dollar against the Swiss Franc.

🔔 4-Hour chart of the pair suggests that the uptrend continuation of the pair is possible after a confirmed breakout from the triangle.

🔔 The breakout from this triangle will trigger a jump towards $0.93760 and $0.94750 above the local high. The uptrend is supported by RSI and MACD indicators as well as the EMA50. The volatility during the FOMC meetings will create a bumpy road for the price’s ongoing trend-continuation, hence it is highly recommended to keep eye on key levels, supports and resistances, one important resistance lies at $0.93140.

✊🏻 Good luck with your trades! ✊🏻
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