USDCHF, “US Dollar vs Swiss Franc”
In the H4 chart, after breaking 8/8 and leaving the “overbought area”, USDCHF is expected to break 7/8 and continue falling to reach the support at 5/8. However, this scenario may be cancelled if the price breaks the resistance at 8/8 to the upside. After that, the instrument may reverse and return to +1/8.
As we can see in the M15 chart, the pair has broken the downside line of the VoltyChannel indicator and, as a result, may continue its decline.
XAUUSD, “Gold vs US Dollar”
In the H4 chart, XAUUSD is trading below the 200-day Moving Average, thus indicating a descending tendency. In this case, the price is expected to test 2/8, rebound from it, and then resume moving downwards to reach the support at 0/8. However, this scenario may no longer be valid if the price breaks the resistance at 2/8 to the upside. After that, the instrument may reverse and grow towards 3/8.
As we can see in the M15 chart, the downside line of the VoltyChannel indicator is pretty far away from the price, that’s why the pair may resume trading downwards only after rebounding from 2/8 in the H4 chart.
Source: Roboforex
