FX.co ★ AUDCHF

Based on my analysis of the AUD/CHF currency pair on the H1 timeframe, the market continues to display a clear bearish structure. The overall direction remains downward, and several technical indicators support the view that sellers currently have the upper hand. For this reason, I believe short positions offer a more favorable trading opportunity than long positions at the moment. One of the main indicators I am monitoring is the 120-period Moving Average. The price is currently trading below this moving average, which confirms that the prevailing trend remains bearish. When the market consistently trades beneath a key moving average, it generally indicates that downward momentum is still dominant and that sellers continue to control price action. The ZigZag indicator provides additional confirmation of this outlook. Recent price swings have formed a sequence of lower highs and lower lows, creating a well-defined bearish structure. This pattern is one of the clearest signs that the trend remains intact and that attempts at recovery have so far been limited. Furthermore, the strength of the sellers is supported by the behavior of hourly candles relative to the moving average near the 0.5620 level. As long as the market remains below this area, I see little evidence that buyers are ready to take control.

Given the current technical setup, my preferred strategy is to look for intraday selling opportunities around 0.5620. If bearish momentum continues, the first profit target would be located near 0.5580. Should the downward trend remain strong, I would consider extending the target toward 0.5540. To manage risk effectively, I would place a stop loss around 0.5650. At the same time, I remain open to alternative scenarios. A bullish setup would only become attractive if AUD/CHF breaks above and successfully consolidates above the 0.5680 level. Such a move could indicate a shift in market sentiment and the beginning of a stronger recovery. In that case, I would target 0.5720 for potential profits while maintaining a protective stop loss near 0.5650. For now, however, the technical picture continues to favor sellers, and my focus remains on trading in the direction of the prevailing downtrend.