USDCHF:A crucial resistance level of continues to limit upside.
The US dollar is being supported by the Federal Reserve's monetary policy decision, which is anticipated to result in a fourth straight 0.75% rate increase.
As a result of the market players fleeing to safe haven assets due to the negative market mood, the US dollar index (DXY) has renewed its day's high at 113.12.
However, on the daily chart, bearish divergence can be noted (the chart makes a higher high while the oscillator makes a lower high), which is frequently an indication that bullish momentum has peaked or at the very least that a drop lower is imminent.
The bulls are still in charge, but the momentum is waning, suggesting a possible turn around.
We expect a greater correction.
As a result of the market players fleeing to safe haven assets due to the negative market mood, the US dollar index (DXY) has renewed its day's high at 113.12.
However, on the daily chart, bearish divergence can be noted (the chart makes a higher high while the oscillator makes a lower high), which is frequently an indication that bullish momentum has peaked or at the very least that a drop lower is imminent.
The bulls are still in charge, but the momentum is waning, suggesting a possible turn around.
We expect a greater correction.