USD/CHF: Risk reversal jumps the most in nine weeks
|One-month risk reversal of Swiss Franc (CHF), a gauge of calls to puts, rises the most since February 09 while also snapping a three-day losing streak on Wednesday.
This goes against the USD/CHF downtrend that currently tests the early March lows during the eighth day of declines.
Risk reversals flash the +0.200 level, favoring USD/CHF bulls by the press time, according to data provided by Reuters. The positive reading indicates call options are drawing higher premium (option price) than put or bearish bets.
Technically, the 50-day SMA level around 0.9188 restricts the quote’s further downside whereas the USD/CHF buyers are less likely to enter until the prices cross the mid-March low near 0.9215 on a daily closing basis.
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