NZD/CHF : Bears are holding downside movement.

General overview: NZD/CHF under pressure in Asian market volatility. Bears will continue to monitor for bearish structure given the daily outlook remains bearish. The pair falls towards the downwards side after the breakout level 0.6534 levels and makes the bearish side towards the market. Bears holding its market volatility towards the downside in the market and makes the selling opportunity in the market. On the daily chart we can see that market caused the breakout level and create more expectation towards downside in market. As the 50 level EMA supporting the market to fall towards the sell side in the market. The head and shoulder pattern formation is been formed in the chart. We can see falling in the market. CHF was the worst performer vs. the greenback which helped to slow the downside in NZD/CHF, but the cross gave way to supply at a key support area while the dollar continues to pressure the kiwi.

Technical analysis: From the technical point of view we can say that market makes the low volatility in the market. Odds are in favors of the bears. On the 4 hourly charts we can see that market makes the low swings in the market. As, after the breakout of 0.6496 market will cause strong selling position in the market. The strong 200 and 50 level line also supporting from the above of it. On hourly chart we can see that after the rectangle pattern breakout the marketwill take its downside movement as the pair creates the low movement path in the market, we can see death crossover also in the chart. The intraday traders take their valid position now as market giving strong selling opportunity to them. The support level will be 0.6450 followed by 0.6400 and resistance will be 0.6550 followed 0.6600.  RSI also fall below the 70 levels as well as MACD also falls below the zero level cause bearish side in the market.

Trade idea:  our traders will sit on the sell side at level 0.6498 target will be 0.6440 followed by 0.6400 and stop loss will be 0.6560.

Leave a Reply