#039: SHORT Investing Opportunity on NZD/CHF

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The NZD/CHF exchange rate is in a particularly interesting technical phase after the strong bullish expansion of recent weeks. Hello, I'm Andrea Russo, an independent Forex trader and prop trader with $200,000 in capital under management. Thank you in advance for your time.

The market has begun to show signs of structural weakness, with a sequence of lower highs and gradually declining volumes, while institutional flow suggests profit-taking at the top of the range.

The 4-hour chart shows a clear break of the short-term ascending trendline, accompanied by a loss of momentum in commodity currencies. The Swiss franc, on the other hand, is showing increasing relative strength, supported by defensive flows and gradually increasing volatility.

The current area represents a key point: the price is testing the volume equilibrium zone, where buy orders had accumulated in the past. A close below this level would open the door to a deeper bearish extension, while any bullish reactions at this range would be considered simple technical pullbacks until the market structure shows a true change in direction.

Momentum indicators confirm increasing bearish pressure, with negative divergences already active and cyclicality favorable to a further downturn.
On the intermarket level, the franc tends to benefit from the current risk-averse environment, while the New Zealand dollar remains exposed to more fragile sentiment linked to the agricultural sector and Asian demand dynamics.

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