LIVE ACCOUNT DEMO ACCOUNT

Daily Market Report – USD/CHF Is This Really A False Breakout? October 10, 2017

Daily Market Report

USD/CHF Trading In The Red

The USD/CHF drops like a rock and erases the latest gains. Technically, has shown some exhaustion signs in the last two weeks, but the USD dragged the price higher as the USDX has managed to reach new highs. The dollar loses ground versus its rivals as the USDX failed to stabilize above the 93.81 horizontal resistance.

Price is located above the 0.9760 level and stays above a dynamic support (resistance turned into support), it could come much deeper to retest a major support before will try to climb much higher.

The Swiss Franc rallied also because the Switzerland Unemployment Rate dropped unexpectedly, it was reported at 3.1%, below the 3.2% estimate and below the 3.2% in the former reading period. The economic indicator reached the February 2015 low.

10usdchf

Price dropped sharply and erased the yesterday’s gains and could invalidate the breakout above the outside sliding line (SL) and above the 0.9787 static resistance. We’ll see what will happen in the upcoming days because a USDX increase will force the rate to increase again. I’ve said in the yesterday’s report that only a consolidation above the 0.9787 will confirm a further increase. USD/CHF could come along the upper median line (uml) of the descending pitchfork till will reach the WL2.

NZD/USD Hovers Above Critical Support

10nzdusd

NZD/USD increased today and still tries to close the yesterday’s gap down, but failed to stay near 0.7087 today’s high and now could reach the 0.7053 horizontal support if the USDX will squeeze a little after the morning drop.  Price hovers above the 0.7053 support and below the median line (ml) of the minor descending pitchfork. It could come to retest the median line (ml) before will drop much deeper, the perspective is bearish as long as is located below this level.

Only a breakout above the median line (ml) will announce an increase towards the upper median line (uml).

EUR/GBP Downside Uncertain

10eurgbp

EUR/GBP posted humble gains today and still could drop in the upcoming days. Is trading in the green and tries to recover after the yesterday’s drop. Technically, it should drop after the retest of the median line (ML) of the ascending pitchfork.

Only a valid breakout above the median line (ML) and above the 0.9000 psychological level will announce a further increase towards the 0.9226 static resistance.

By Olimpiu Tuns – Market Analyst

Profil1

I graduated a Master in Business Administration, I am a Market Analyst / Trader on Financial Markets (forex, commodities, futures, options) for more than 6 years, I use technical and fundamental analysis for my daily activity. Founder and Market Analyst at ovtbusiness.com (Financial Markets Blog) and contributor on investing.com, actionforex.com,  countingpips.com, forexalchemy.com, etc.

Risk Disclaimer:

Trading, in general, is very risky and is not suited for everyone. There is always a chance of losing some or all of your initial investment/deposit, so do not invest money you can’t afford to lose. You are strongly advised to carry out your independent research before making any trading decisions.  All the analysis, market reports posted on this site are only educational and do not constitute an investment advice or recommendation to open or close positions on international financial markets. The author is not responsible for any loss of profit or damage which may arise from transactions made based on any information on this website.

Call Back Register
IB
Individual Customer
Previous Articles

OFFERS OVER 12,000 FINANCIAL PRODUCTS ONLINE

REGULATORY LICENSES
  • MEX Australia Pty Ltd is regulated by ASIC License Number 416279
  • MEX (Europe) Limited is regulated by FCA (acquisition subject to FCA approval)License Number 481068
  • MultiBank FX International is regulated by FSCLicense Number SIBA/L/14/1068
  • MEX Clearing Limited is regulated by UAELicense Number IC/2993/10
WHY MULTIBANK EXCHANGE GROUP
  • 01AWARD-WINNING MT4 PLATFORM
  • 02STARTING FROM 0 PIPS SPREAD
  • 03ADVANCED TRADING PLATFORM
  • 04NEGATIVE BALANCE PROTECTION
  • 05FULLY AUTOMATED TRADING DESK
  • 06NO TRADING RESTRICTIONS
  • 07UP TO 500:1 LEVERAGE
  • 08PURE ECN PLATFORMS
  • 09NO REQUOTES
  • 10NO REJECTIONS
  • 1124-HOUR SUPPORT
  • 12NO PRICE SLIPPAGE
  • 13BEST SECURITY OF FUNDS
  • 14NO RESTRICTIONS ON EA & SCALPING
  • 15HIGH COMMISSION & REBATE FOR IB
  • 16FREE MAM, PAMM, VPS, API
  • 17GUARANTEED 24H WITHDRAWAL
  • 18NO COMMISSION CHARGES
become our partner IB
Call Back Register