Bulls regain USDCHF as China disappoints.
“China’s data flashes contraction alert, sparking risk averse among market participants.”
Global market was rattled by recent release of trade data from China, sparking deep losses in Asian market especially Chinese Yuan. Earlier this week, August’s data showed that China’s trade surplus came in lower than expected, with both imports and exports underperforming. China’s economy suffered substantially as central government enforces strict lockdown due to zero Covid policy. Following the release of China’s data, investors flew towards safe-havens, especially US dollar.
Quick recap of USDCHF
The pair remains traded in an uptrend, following strong rebound near the trendline.
USDCHF Weekly Technical Analysis
From weekly perspective, the pair is currently testing near 0.9845, which coincides with MACD that begins to turn bullish.
USDCHF Daily Technical Analysis
The presence of bulls from the downside is rather evident as recent pullback was rejected, forcing the pair to retest at the nearest resistance yet again.
ORDER: BUY STOP
STOP LOSS: 0.9790
Target 1: 1.0000
Target 2: 1.0030
ZFX Analyst’s Comment
We expect the pair to extend its bullishness, as recent pullback remains short-lived. If bulls are able to conquer the nearest resistance, it will open up for more upside opportunities thereafter.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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