The CHF/JPY currency pair has been on a strong bullish run since April, with price moving in a clear uptrend of higher highs and higher lows. On the 4H chart, the pair recently reached the 185.03 resistance zone before retreating slightly, which now raises the question: can the bulls sustain momentum, or is a correction due?
Trend Overview
The medium-term structure remains bullish as price continues to respect the rising trend.
Since breaking above 176.00, buyers have consistently pushed the pair higher, reflecting strong Swiss franc demand against the yen.
Current market action suggests consolidation after the latest rally, with traders carefully watching the 185.00–186.00 level.
Resistance Zones:
185.00 – 186.00: Recent swing high, potential selling pressure.
190.00: Major psychological barrier if bulls break higher.
Support Zones:
183.00 – 182.50: Short-term demand zone where buyers may re-enter.
180.00: Next key downside level if 183.00 fails.
170.75: Major structural support, unlikely to be tested unless a deep correction occurs.
Momentum Indicators
RSI (14): Currently sitting near the mid-range (50–55), suggesting neutral momentum after a strong overbought reading earlier this month.
RSI rejected several times above 70 in recent weeks, pointing to potential exhaustion at higher levels, but no confirmed bearish divergence yet.
Bullish Outlook
If price holds above 183.00, bulls could attempt another breakout above 185.00.
A successful close above 186.50 would likely open the path towards 190.00.
Bearish Outlook
A failure to hold the 183.00 – 182.50 zone may trigger deeper correction towards 180.00.
Breaking below 180.00 would shift momentum and expose 176.50 – 174.00.
Trading Plan (Educational Only – Not Financial Advice)
Bullish bias remains intact.
Consider buying on dips above 183.00 with targets at 185.00 and 186.50.
Alternatively, look for sell opportunities if price rejects strongly at 185.00–186.00 with bearish confirmation signals.
Risk management is crucial, as the pair has shown strong volatility in recent weeks.
Conclusion
The CHF/JPY pair remains in a dominant uptrend, but traders should stay cautious as price approaches the heavy resistance at 185.00–186.00. A breakout above this level could fuel a rally toward 190.00, while a rejection may bring a healthy correction back to 180.00 support.
Trend Overview
The medium-term structure remains bullish as price continues to respect the rising trend.
Since breaking above 176.00, buyers have consistently pushed the pair higher, reflecting strong Swiss franc demand against the yen.
Current market action suggests consolidation after the latest rally, with traders carefully watching the 185.00–186.00 level.
Resistance Zones:
185.00 – 186.00: Recent swing high, potential selling pressure.
190.00: Major psychological barrier if bulls break higher.
Support Zones:
183.00 – 182.50: Short-term demand zone where buyers may re-enter.
180.00: Next key downside level if 183.00 fails.
170.75: Major structural support, unlikely to be tested unless a deep correction occurs.
Momentum Indicators
RSI (14): Currently sitting near the mid-range (50–55), suggesting neutral momentum after a strong overbought reading earlier this month.
RSI rejected several times above 70 in recent weeks, pointing to potential exhaustion at higher levels, but no confirmed bearish divergence yet.
Bullish Outlook
If price holds above 183.00, bulls could attempt another breakout above 185.00.
A successful close above 186.50 would likely open the path towards 190.00.
Bearish Outlook
A failure to hold the 183.00 – 182.50 zone may trigger deeper correction towards 180.00.
Breaking below 180.00 would shift momentum and expose 176.50 – 174.00.
Trading Plan (Educational Only – Not Financial Advice)
Bullish bias remains intact.
Consider buying on dips above 183.00 with targets at 185.00 and 186.50.
Alternatively, look for sell opportunities if price rejects strongly at 185.00–186.00 with bearish confirmation signals.
Risk management is crucial, as the pair has shown strong volatility in recent weeks.
Conclusion
The CHF/JPY pair remains in a dominant uptrend, but traders should stay cautious as price approaches the heavy resistance at 185.00–186.00. A breakout above this level could fuel a rally toward 190.00, while a rejection may bring a healthy correction back to 180.00 support.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.