CAD/CHF may fall to 0.5885 - 0.5978

Our pivot point stands at 0.6327.

Our preference

The downside prevails as long as 0.6327 is resistance.

Alternative scenario

The upside breakout of 0.6327, would call for 0.6484 and 0.6577.

Comment

The RSI is below 30. It could either mean that the pair is in a lasting downtrend or just oversold and therefore bound to retrace (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 0.6452 and 0.6528). Finally, the CAD/CHF has penetrated its lower Bollinger band (0.6186).

Supports and resistances

0.6577 **

0.6484 *

0.6327 **

0.6266

0.6170 last

0.5978

0.5885 **

0.5792 *

0.5700 **

Number of asterisks represents the strength of support and resistance levels.