FX.co ★ glow_with_mouchi | USD/CHF

Looking at the USD/CHF daily chart, my current view is that the pair has shifted from a bullish structure into a short-term corrective phase, and I would be cautious about assuming that the previous uptrend will immediately resume. Price recently rejected the 0.8130–0.8140 area and then produced a very sharp bearish daily move, bringing USD/CHF down toward the psychological 0.8000 level. For me, this reaction is technically important because it shows that sellers have finally managed to gain meaningful control after several weeks of consolidation near the upper part of the range The first level I am watching closely is 0.8000. This is not only a psychological number but also an important technical area because the pair has spent considerable time trading around this zone. A daily close clearly below 0.8000 would increase the probability of a deeper correction. In that scenario, I would look toward 0.7900 as the first downside objective, followed by the 0.7820–0.7800 region, which appears to be a stronger historical support area on the chart. The momentum indicators are also supporting my cautious view. The RSI is currently around 36, which tells me that bearish momentum has increased considerably compared with the earlier part of the rally. However, RSI has not yet reached deeply oversold territory. Therefore, I would not interpret the current reading as an automatic buy signal. Instead, I would wait to see whether the RSI can stabilize and turn higher while price holds above an important support level The MACD is giving me an even clearer warning. The histogram has moved into negative territory, while the MACD line has crossed below its signal line. In my opinion, this confirms that the bullish momentum visible during June and July has weakened significantly. The indicator does not necessarily mean that a major long-term downtrend has started, but it does suggest that buying aggressively at the current level carries more risk. On the upside, I would initially watch 0.8050–0.8080 as the first resistance zone. If buyers manage to reclaim this area and establish daily closes above it, I would become more interested in a recovery toward 0.8130. A sustained break above 0.8130 would improve the bullish picture again and could bring the 0.8200–0.8240 region back into focus From a fundamental perspective, the recent weakness in the U.S. dollar also deserves attention. The dollar has been under pressure recently, while the Swiss franc has benefited from renewed demand. Reuters reported on August 20 that the dollar remained near three-month lows, with the franc among the currencies strengthening against it Personally, I would therefore avoid chasing either direction in the middle of this move. My preferred approach would be to wait for confirmation. Below 0.8000, I would favor further downside, while a strong recovery above 0.8080 would make me reconsider the bearish scenario. For now, the chart tells me that sellers have the short-term advantage, and the 0.8000 level could determine the next significant move.