USD/CHF Outlook: Swiss franc rises to new multi-month high vs dollar

Slobodan Drvenica Windsor Brokers

USD/CHF

The Swiss franc continues to shine and extended larger strength against US dollar to new highest level since September 2018 on Thursday.
Fresh rally was fueled by decision of the US Treasury Department to add Switzerland to the list of currency manipulators, after removing China from the list and report that showed significant drop in net long bets on the dollar.
The Swiss franc remains firm despite talks of SNB’s intervention and eyes next significant barriers at 0.9588 (Fibo 61.8% of 0.9187/1.0237, Feb 2018/Apr 2019 ascend) and 0.9542 (21 Sep 2018 trough).
Bearish daily/weekly techs support further USDCHF weakness, however, oversold conditions warn that larger bears may pause before push through 0.9588/72 pivots.
Falling daily Tenkan-sen (0.9694) should cap upticks and keep bears intact.

Res: 0.9659; 0.9679; 0.9694; 0.9730
Sup: 0.9626; 0.9588; 0.9542; 0.9519

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD treads water above 1.1850 amid thin trading

EUR/USD stays defensive but holds 1.1850 amid quiet markets in the European hours on Monday. The US Dollar is struggling for direction due to thin liquidity conditions as US markets are closed in observance of Presidents' Day.

GBP/USD flat lines as traders await key UK and US macro data

GBP/USD kicks off a new week on a subdued note and oscillates in a narrow range near 1.365 in Monday's European trading. The mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important releases from the UK and the US.

Gold sticks to intraday losses; lacks follow-through

Gold remains depressed through the early European session on Monday, though it has managed to rebound from the daily trough and currently trades around the $5,000 psychological mark. Moreover, a combination of supporting factors warrants some caution for aggressive bearish traders, and before positioning for deeper losses.

Bitcoin, Ethereum and Ripple consolidate within key ranges as selling pressure eases

Bitcoin and Ethereum prices have been trading sideways within key ranges following the massive correction. Meanwhile, XRP recovers slightly, breaking above the key resistance zone. The top three cryptocurrencies hint at a potential short-term recovery, with momentum indicators showing fading bearish signs.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.