GBP/CHF: Key Support Under Pressure in a Descending Triangle

In today’s technical analysis, let’s focus on the British pound to Swiss franc (GBP/CHF), which is forming a very familiar and technically significant pattern on the daily chart — a descending triangle. This setup, visible over the past several weeks, reflects a market that is gradually pressuring the downside, with lower highs confirming persistent selling activity. However, the key factor holding the pair steady for now is the orange horizontal support zone, which has proven to be a critical level multiple times before.

The current price action shows that buyers are still defending this orange support, keeping the pair above it for now. As long as this level remains intact, the sentiment can still be described as neutral-to-positive, with buyers maintaining a chance for a rebound. However, the descending triangle as a formation typically favors a breakout to the downside, reflecting growing bearish pressure with each successive lower high. This suggests that while the pair is holding steady for now, the longer we stay within this narrowing structure, the higher the probability of a bearish resolution.

From a trading perspective, the key levels are clearly defined. A daily close below the orange horizontal support would confirm the breakout to the downside and trigger a strong long-term sell signal, potentially opening the way for a deeper correction. On the other hand, if the price manages to break above the red descending resistance line, that would invalidate the bearish setup and give us a proper buy signal, likely leading to a bullish reversal. The battle around these levels is critical — whichever side breaks first will dictate the long-term direction for GBP/CHF.

Source: https://www.axiory.com/analytics/technical-analysis/gbp-chf-key-support-under-pressure-in-a-descending