USD/CHF advances toward 0.9100 ahead of US NFP data

USD/CHF approaches 0.9100 as Swiss Franc losses appeal amid easing price pressures.
The USD index consolidates around 106.00 as the focus shifts to the US NFP.
Investors hope that the Fed is done with hiking interest rates.

Sagar Dua FXStreet

The USD/CHF pair extends recovery to near 0.9070 ahead of the United States labor market data for October. The Swiss Franc asset aims to recapture the 0.9100 resistance while the US Dollar Index (DXY) has turned sideways around 106.00.

S&P500 futures generated some losses in the European session, portraying some decline in the risk appetite of the market participants. The USD index struggles to hold recovery as investors hope that the Federal Reserve (Fed) is done with its historically tight rate-hiking campaign. 10-year US Treasury yields have dropped to 4.67% on expectations that the Fed will keep interest rates unchanged in the range of 5.25-5.50% till the year-end.

Going forward, the US Nonfarm Payrolls (NFP) data will be keenly watched. Analysts at RBC Economics see a 208K gain in payroll employment. Still, labor demand has also been slowing under the surface in the US with job openings drifting lower and wage growth slowing. The Unemployment Rate may tick up to 3.9% (despite higher employment) after climbing to 3.8% over August and September from 3.5% in July.

Economists will keenly watch the Average Hourly Earnings data to understand how underlying inflation risks are developing. Monthly Average Hourly Earnings is seen expanding by 0.3% vs. 0.2% growth in September. The annual earnings data rose by 4.0% against 4.2%.

The Swiss Franc weakens against the US Dollar as the Swiss Consumer Price Index (CPI) continues to remain below the 2% target. Swiss annual inflation at 1.7%, remained in line with estimates and the former release. The monthly inflation grew marginally by 0.1% as expected.

USD/CHF

Overview
Today last price	0.9048
Today Daily Change	-0.0012
Today Daily Change %	-0.13
Today daily open	0.906

Trends
Daily SMA20	0.9013
Daily SMA50	0.8998
Daily SMA100	0.8899
Daily SMA200	0.9005

Levels
Previous Daily High	0.9077
Previous Daily Low	0.9018
Previous Weekly High	0.9035
Previous Weekly Low	0.8888
Previous Monthly High	0.9244
Previous Monthly Low	0.8888
Daily Fibonacci 38.2%	0.9041
Daily Fibonacci 61.8%	0.9055
Daily Pivot Point S1	0.9026
Daily Pivot Point S2	0.8992
Daily Pivot Point S3	0.8966
Daily Pivot Point R1	0.9085
Daily Pivot Point R2	0.9111
Daily Pivot Point R3	0.9145

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

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