USDCHF closes above its opening price after recovering from early selling pressure

Overview

USDCHF ended the week -0.23% lower at 0.9673 after gaining 20 pips (0.21%) today. Trading up to 24 pips lower after the open, USD/CHF managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices failed to decisively move past the prior day's trading range in a lackluster session. Ending with a strong close near the high of the day sets a bullish note for the next session.

Volatility

Friday's trading range was 44 pips (0.46%), that's below last trading month's daily average range of 56 pips. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being above average.

Price Action

After moving lower in the previous session, the pair managed to close higher but below the prior day's open, forming a bullish Harami Candle.

Support/Resistance

After trading as low as 0.9635 during the day, the FX pair bounced off the key support level at 0.9641. The failure to close below the support might increase that levels importance as support going forward.

Trend

The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.

Conclusion

While classical technical analysis indicates a bullish sentiment for the next trading day, our quantitative statistics show a different picture being bearish.