USD/CHF hits new highs above 0.9500 as USD gains momentum
|The US Dollar reversed its trend against European currencies. It trimmed losses versus the pound and the euro and printed fresh highs against the Swiss franc. USD/CHF reached at 0.9505 the highest level since Friday.
A combination of a USD reversal and a weak Swissy boosted the pair that accelerated the bullish correction of the USD/CHF. Still trades significantly lower from the level it had a week ago. The Swiss franc is the worst performer among European currencies.
USD/CHF on corrective-mode
The pair rebounded from 0.9455 and currently trades at 0.9495, up for the second day in a row, recovery after falling last week to the lowest since August 2015.
A slide in US bonds boosted the greenback. The 10-year yield rose from 2.26% to 2.32%, the highest in a week. Also economic data came in better-than-expected. US consumer confidence rose above expectations while the Richmond Fed Manufacturing Index came in at 14 (vs 7).
Another factor that could be supporting the greenback is the fact that the US Senate could vote on the health-care bill today and it could actually pass. That could support Trump’s reform agenda.
USD/CHF Levels to watch
To the upside, resistance levels might lie at 0.9505 (daily high), 0.9520/25 (Jul 18 low / Jul 21 high) and 0.9555/60 (Jul 19 high). On the flip side, support might be seen at 0.9485 (European session high), 0.9450 (daily low) and 0.9437 (2017 low).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.