USDCHF Daily Outlook – Last week we were surrounded by more negative economic outlook globally and fears of the second wave of the Coronavirus. The USD dollar did make a comeback on Friday but the British Pound pulled back from gains thanks to the big shift in global risk sentiment as well as further Brexit talks uncertainty.

Welcome to the Tickmill update, I’m Kiana Danial the founder of the Invest Diva movement. Make sure to subscribe to the Tickmill YouTube channel and support us by liking and sharing this video with your forex trading friends.

The main economic event on Monday is the Bank of Japan’s interest rate decision as well as the UK-EU Brexit talks.

Today I’m looking at the USD/CHF pair which broke below the daily Ichimoku cloud last week, and then found support at the 78% Fibonacci retracement level of 0.944.

The future Ichimoku cloud remains bearish and the current cloud could be acting as a layer of resistance. So traders may view Friday’s bullish engulfing as a temporary correction that could be followed by further drops towards the key supports of 0.94 and 0.92.

Do you think this was a temporary correction or the bearish momentum has come to and end? Head over to the comments section and let me know.

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