USDCHF is respecting a clear descending trendline with price reacting at a strong supply zone around 0.7900ā0.7950, showing rejection and forming a lower high structure, which keeps bearish pressure intact with potential continuation toward 0.7700 and below.
Fundamentally, the Fed is maintaining rates with a cautious stance due to persistent inflation and geopolitical risks, supporting the dollar short term but limiting aggressive upside momentum.
At the same time, CHF remains strong as a safe haven with the SNB holding rates at 0% and actively ready to intervene, while global tensions continue to drive demand into the franc, strengthening downside bias on this pair.
Overall, I am watching for rejection confirmation from this resistance zone as liquidity sweep and trendline confluence suggest sellers remain in control, positioning for a potential impulsive move lower.