CAD/CHF 4H Technical and Fundamental Analysis
CAD/CHF 4H Technical and Fundamental Analysis
CAD/CHF has shown bullish potential this week, supported by strengthening fundamentals and a technical breakout. From a macro perspective, the Canadian dollar (CAD) continues to benefit from rising crude oil prices, a key Canadian export. With WTI crude trading above $80 per barrel, the commodity-backed CAD gains further momentum. Meanwhile, the Swiss franc (CHF)—often viewed as a safe haven—is seeing mild outflows as risk appetite improves globally and capital shifts toward higher-yielding assets.
From a central bank standpoint, the Bank of Canada (BoC) has struck a cautiously optimistic tone regarding inflation, while the Swiss National Bank (SNB) has already begun cutting interest rates—creating a divergent policy path that favors CAD strength against CHF.
On the technical side, CAD/CHF recently found strong support in the 0.57800–0.58100 zone, where price formed a potential double bottom pattern just below key resistance—a signal often associated with bullish reversal. A minor key level at 0.58300 was broken, followed by a clear accumulation phase. After consolidation, price grabbed liquidity with a long wick but closed above the key level, forming a bullish engulfing candle, suggesting strong buying pressure.
We now await a retracement into our zone of interest to position long entries with favorable risk-reward.
📍 Buy Setup:
Entry: Buy Limit at 0.58390
Stop Loss: 0.58130 (below liquidity grab)
Take Profit: 0.58940 (next key resistance)
📌 Disclaimer:
This is not financial advice. Always wait for proper confirmation before executing trades. Manage risk wisely and trade what you see—not what you feel.
source https://www.tradingview.com/chart/CADCHF/YsVQlW4d-CAD-CHF-4H-Technical-and-Fundamental-Analysis/
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