EURCHF Price Analysis – May 15
The pin bar candle formed on the daily chart at the demand level of $1.126 is a signal that the price may reverse. The price may bounce at the mentioned level in case the Bulls defend the $1,126 level.
Resistance levels: $1.134, $1.141, $1.149
Support levels: $1.126, $1.116, $1.108
EURCHF Long-term trend: Bullish
EURCHF is bullish on the long-term outlook. The currency pair was on the ranging mode within the descending channel last week. EURCHF price was on the upward movement towards $1.141 at the upper trend line. The price touched the mark and reversed with the formation of the Bearish engulfing candle, followed by another daily bearish candle. On May 13, a strong daily bearish candle emerged and broke down the former demand level of $1.134 and the price moved down towards $1.126 level.
EURCHF has penetrated the two EMAs downside. The 21 periods EMA is above 50 periods EMA and the former trying to cross the later. EURJPY price is trading below the two EMAs as a sign of a bearish trend. The Stochastic Oscillator period 14 is below 25 levels (oversold level) making an attempt to bend to the north; this indicates that the bearish momentum is getting weak and the Bulls may take over. The pin bar candle formed on the daily chart at the demand level of $1.126 is a signal that the price may reverse. The price may bounce at the mentioned level in case the Bulls defend the $1,126 level. Further increase in the Bears’ pressure may break down the $1.126 and target $1.116 level.
URCHF medium-term Trend: Bearish
On the medium-term outlook, EURCHF is bearish. EURCHF was range-bound within the support level of $1.134 and the resistance level of $1.141 last week. The price touched the upper trend line and the price bounced off the resistance level.
The price has declined to $1.126 level and morning star candle pattern has formed on the 4-hour chart and this may reverse the trend of the currency pair.
Please note: insidebitcoins.com is not a financial advisor. Do your own research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results.