NZD/CHF Technical Downturn Signals on H4 Chart: A Bearish Trend Takes Hold

Ichimoku Cloud and MACD Concur: NZD/CHF Bears Dominate the 4-Hour Frame

The NZD/CHF currency pair, as depicted in the H4 time frame, shows that the market is currently experiencing a period of bearish momentum. This is indicated by the price trading below the Ichimoku Cloud, suggesting that the sentiment for the New Zealand Dollar against the Swiss Franc is skewed towards the downside in the medium-term outlook. Additionally, the recent candlesticks forming below the baseline of the Ichimoku Cloud (Kijun-sen) reinforce the strength of the current bearish trend. The market seems to have struggled to maintain upward momentum, as reflected by the red bearish candlesticks, which indicate selling pressure.

   Chart Notes: 

  • Chart time-zone is UTC (+03:00)
  • Candles’ time-frame is 4h.

The technical indicators further support the bearish outlook. The MACD is below the signal line and the histogram bars are predominantly red, both signaling bearish momentum. Although there’s a slight convergence suggesting a reduction in bearish pressure, the overall stance remains downward. The Relative Strength Index (RSI) sits just below the 50 level, leaning towards neither oversold nor overbought territory, but its slight downward trajectory suggests that the bears have a slight edge over the bulls. Traders considering this pair should look for potential support levels where the downward move might pause or reverse, and also watch for any fundamental factors that could affect the currency pair’s movement.

In conclusion, the technical analysis for the NZD/CHF on the H4 chart points towards a bearish bias in the near term. However, as with any trading decision, it’s critical to consider the broader market context and look out for upcoming economic announcements or geopolitical events that could sway the current trend. Risk management and due diligence remain paramount for traders navigating this pair.

• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore Ltd”. This post has been published only for educational purposes.