USDCHF Weekly Analysis 02/02/2025
Satheesh V
Fundamental analysis
1. Overview of Momentum and Market Structure
Current Momentum: Bullish.
Previous Week's Performance: Bullish.
Range: 0.8964 – 0.9115
Expectations: Anticipating a bullish continuation within the range, targeting higher liquidity levels.
Trading Plan
Bullish Bias
Strategy:
Watch for price reactions at the following support zones for potential long entries:
0.9070 (H4 Liquidity)
0.9058 (H4 Liquidity)
0.9042 (H4 FVG)
0.9030 (H4 Liquidity)
0.9022 (H4 FVG)
Targets:
Primary targets: 0.9115 (H4 Liquidity) and 0.9153 (H4 Liquidity).
Extended target: 0.9200 (Daily Liquidity).
For Shorts
Strategy:
Monitor price action at the following resistance levels for potential reversals:
0.9115 (H4 Liquidity)
0.9153 (H4 Liquidity)
0.9200 (Daily Liquidity)
Confirmation:
Look for reversal patterns such as bearish engulfing candles or order block formations before entering short positions.
Targets:
Primary Targets: 0.9070 (H4 Liquidity) and 0.9058 (H4 Liquidity).
Extended Target: 0.9022 (H4 FVG).
Summary
The bias remains bullish within the 0.8964 – 0.9115 range.
Long entries are favorable around support levels with confirmation.
Short opportunities may arise near or above 0.9153 if signs of exhaustion emerge.
Use your strict money management rules to manage risks effectively.
Technical analysis
USD/CHF holds near 0.9100 as Fed hawkishness supports the Greenback, while weak US GDP growth tempers gains. Markets are pricing in fewer chances of early Fed rate cuts, keeping USD resilient.
However, geopolitical tensions and safe-haven flows into the Swiss Franc could limit upside momentum. Investors await US PCE inflation data for further direction, with any escalation in risk-off sentiment favoring CHF strength.
