Cable inches towards key resistance near 1.3400
The progress on the COVID-19 vaccines and hopes of a swift economic rebound next year added to the optimistic sentiment in the market.
USD/CHF moving up within the triangle pattern
Information is not investment advice
On the H4 chart of USD/CHF, we may see the following picture. Since the beginning of the last week, the USD has been dropping against the CHF, leaving the resistance level for the bulls at 0.9967. The support level of 0.9842, formed by the previous low, was not reached. But the price pinched through 0.9857 and bounced up from 0.9870, leaving it as the last support level. This altogether appears as a forming triangle pattern.
The RSI indicator has been following the same direction. If we see the last high of the USD/CHF, it corresponds with the same for RSI, which touched the overbought level of 70% a week ago and started dropping. It crossed the oversold level of 30% upside-down at the same time when the currency pair reached its low and started moving up.
The above gives us reasons to think that the price may be moving up to the next resistance of 0.99436, and then is likely to bounce back down.
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Cable inches towards key resistance near 1.3400
The progress on the COVID-19 vaccines and hopes of a swift economic rebound next year added to the optimistic sentiment in the market.
AUD/JPY: Risk on remains intact
World shares paused on Monday to assess a record-breaking month
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