Technical analysis
The daily time frame shows that the USDCHF pair is close to the neckline of a bearish head and shoulders pattern with 120 points of downside potential.
Bearish MACD and RSI price divergence is also warning that the USDCHF pair could stage a significant decline at any time.
What the possible outcomes are
In our most likely scenario, the USDCHF pair will starts to decline back towards the 0.9020 level as the mentioned head and shoulders pattern and divergence unfold to the downside.
Alternatively, the USDCHF pair could test back towards the 0.9210 level and then start to decline back towards the 0.9020 level.
Key levels
Support 0.9100 0.9020
Resistance 0.9210 0.9210
