EURCHF Analysis – Price Keeps Rallying Upward to Seek Buy-Side Liquidity
EURCHF keeps rallying upward to seek buy-side liquidity. Until a previous low is broken, EURCHF will always remain bullish. In a bid to resume the market’s trend to the upside, the market sank into a bullish order block on the daily chart to seek buy orders.
EURCHF Significant Zones
Demand Zones: 0.97100, 0.9400
Supply Zones: 1.0510, 1.1150
The market has been in an uptrend since the price hit the 0.9400 demand zone. Price flipped bullish and has since been rallying in fractals. Before the repulsion at the 0.9400 demand zone, the market was no doubt controlled by the bears. This bearish move appeared after a massive price drop to lower values to look for buy orders. The consequent breaks in market structure to the downside are another indication that the bears were in complete control of the EURCHF. Nevertheless, the bears had been controlling the market for a long time.
After a fake-out that lured many EURCHF buyers to a stop on February 4, 2022, more bears stormed the market with their sell orders until March 7, 2022. The bulls were able to ride an ascending trendline into the premium for about three months. When the price reached 1.0510, the market began a precipitous drop into the abyss. The EURCHF was immersed deeply to seek buy orders, but enough buy orders weren’t found until the 0.9400 support was reached. However, the bullish order block created on October 13, 2022, has now caused a continuation of the market’s trend to the upside.
The bulls are currently riding the ascending trendline on the four-hour chart. Once the double top is broken, EURCHF might retrace down to hit the ascending trendline before heading to the previous high at the 0.9960 price level to invalidate it.
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