GBP/CHF Bearish Setup Confirmed as Flag Pattern Breaks Down

A very clean technical setup is unfolding on the British Pound to Swiss Franc (GBP/CHF) chart. The pair is in a downtrend, and we recently saw a bullish correction take shape. This correction formed a flag pattern, marked by red lines, which concluded with a downside breakout—exactly as anticipated.

What makes this setup particularly compelling is that the flag persisted until the price reached the green horizontal resistance level, a critical area that previously acted as key support in mid-June. This scenario—where a broken support level is retested as resistance—creates a textbook bearish setup.

Currently, the price is inching slightly higher, but this may present an ideal opportunity to enter a short position at a more favorable price. As long as the price remains below the green resistance level, the overall sentiment stays bearish.

Source: https://www.axiory.com/analytics/technical-analysis/gbp-chf-bearish-setup-confirmed-as-flag-pattern-br