USD/CHF: Options market turn most in six months ahead of Fed
|One-month risk reversal of USD/CHF, a gauge of calls to puts, not only snapped a two-day downtrend but also rose the most since January 08, per the latest data from Reuters.
This goes hand-in-hand with the USD/CHF recovery after refreshing the lowest levels in two weeks the previous day.
Risk reversals flashed a +0.600 figure for July 27, suggesting the strong bullish bias among the USD/CHF traders.
It should, however, be noted that the pair’s sustained trading below the 100-DMA, around 0.9160, on a daily closing basis keeps the sellers hopeful. The same direct USD/CHF bears to the monthly low around 0.9120 before highlighting the 200-DMA level of 0.9070 during the further weakness.
Read: USD/CHF Price Analysis: Bears challenge 38.2% Fibonacci retracement
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