USD/CHF rises further to test monthly highs
|- USD/CHF adds to gains after FOMC minutes on the back of a stronger US dollar.
- Pair heads for highest close since mid-August.
The USD/CHF pair printed fresh weekly highs following the release of hte FOMC minutes. The pair was already up for the day and climbed further, hitting a new high at 0.9948. Near the end of the session was hovering near the top and looking at October highs located at 0.9955. On a daily basis, USD/CHF was about to post the highest close in two months.
The US dollar rose modestly after the FOMC minutes. The document showed that some FOMC members judged that it might be necessary to raise interest rates above their longer-run level. Fed’s officials expected that further gradual increases would be consistent with a sustained expansion of economic activity. Expectations of a December rate hike remained firm, supporting higher US yields.
USD/CHF Levels to watch
The short-term momentum favors further gains in the US/CHF pair, with price recently breaking above the 0.9930 area. But the upside faces a strong resistance around 0.9950 that capped the upside during the previous two weeks. A break higher, could lead to 0.9980/85 (August highs).
If over the next sessions, the greenback failed to break and hold on top of 0.9950, a move to the downside could be seen. The move would gain strength if it breaks under 0.9850. Ahead of the Asian session, immediate support levels lie at 0.9925/30, 0.9900 and 0.9880.
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.