From the beginning of November 2022 until the end of January this year, the USDCHF – USD – swiss franc pair moved in a downward trend. Initially, we recorded sharp declines but since mid-November the price has been falling less intensively, forming a downward channel ( blue dashed lines) of a height of about 300p.

USDCHF – declining MACD may herald declines to ‘red’ channel support

In mid-February there was an upward breakout from this channel and the price formed an upward channel (red dashed lines). Currently, the price is about halfway up the channel with a downward trend towards its support. The declining MACD suggests declines at least to the aforementioned support, which is located at 0.9290, some 50p below the current price.

The H4 chart shows us the potential range of declines

usd/chf four hour chart
USDCHF H4 – first leg of declines with target – channel support – very likely

On the H4 chart, the last two candles (at the time of writing) formed an inside bar formation. A breakout from the bottom of the formation may accelerate the movement towards the support of the upward channel in which the price has been moving since February this year.

If the price overcomes the support, the next target could be the demand zone starting at 0.9180, where we are dealing with the confluence point of support resulting from the intersection of the downward channel resistance and the demand zone. However, the possibility of a rebound from the uptrend channel support (red) as happened on 14 February should be taken into account.

I invite you to my live sessions – starting from Tuesday 7:00 GMT


This  WEEK  (6 MAR – 11 MAR)  I am pleased to invite you to several online sessions. Below is the schedule of meetings:

Links:  BASIC (beginners room)                        ADVANCED ROOM

The above analysis is based on the PA+MACD strategy, a detailed description of which you can read HERE . I will talk more about the PA+MACD strategy applied to these currency pairs during the live trading sessions which you can attend from Monday to Friday.
More current analysis on the group : Trade with Dargo

In our Facebook group, which you can join anytime: you will find 5 simple strategies on which my trading is based. There, every day  we post fresh analyses of currency pairs and commodities. You can also visit my channel where I post my trading ideas:

Leave us a comment!


Error, group does not exist! Check your syntax! (ID: 3)