USD/CHF back closer to multi-week lows as USD slips below 100.00 mark

Haresh Menghani FXStreet

The USD/CHF pair failed to build on early gains to parity mark and has now dropped to fresh session low near 0.9960 region.

A fresh wave of greenback selling pressure during early European session, with the key US Dollar Index slipping back below the key 100.00 psychological mark, seems to be a key driver of the pair's downslide on Tuesday.

The pair even failed to benefit from a mildly positive opening in European equity markets, and easing political uncertainty in the Euro-area in wake of Emmanuel Macron's win at the first French Presidential debate, which tends to weigh on the Swiss Franc's safe-haven appeal.

Meanwhile, market seems to have largely ignored a downgrade of the Swiss economic growth estimates for 2017, released by the Swiss State Secretariat for Economic Affairs (SECO), with the US Dollar price-dynamics being an exclusive driver.

Investors now look forward to New York Fed President William Dudley's speech for some fresh impetus ahead of the US current account deficit figures for December, due later during the NA session.

Technical levels to watch

Bears would be eyeing for a decisive weakness below mid-0.9900s, below which the pair is likely to prolong the depreciating move further towards the very important 200-day SMA support near 0.9910-0.9900 region, en-route yearly lows support near 0.9865-60 zone.

On the upside, any recovery back above 0.9985 level, leading to a subsequent momentum above parity mark, now seems to lift the pair towards 1.0025-30 horizontal resistance ahead of 100-day SMA hurdle near 1.0060 region.

1 Week
1 Month
1 Quarter

1 Week

Avg Forecast 0.9940

33% Bullish
67% Bearish
0% Sideways

Bias Bearish

1 Month

Avg Forecast 1.0178

62% Bullish
23% Bearish
15% Sideways

Bias Bullish

1 Quarter

Avg Forecast 1.0215

69% Bullish
15% Bearish
15% Sideways

Bias Bullish

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

EUR/USD recedes to daily lows near 1.1850

EUR/USD keeps its bearish momentum well in place, slipping back to the area of 1.1850 to hit daily lows on Monday. The pair’s continuation of the leg lower comes amid decent gains in the US Dollar in a context of scarce volatility and thin trade conditions due to the inactivity in the US markets.

GBP/USD resumes the downtrend, back to the low-1.3600s

GBP/USD rapidly leaves behind Friday’s decent advance, refocusing on the downside and retreating to the 1.3630 region at the beginning of the week. In the meantime, the British Pound is expected to remain under the microscope ahead of the release of the key UK labour market report on Tuesday.

Gold looks inconclusive around $5,000

Gold partially fades Friday’s strong recovery, orbiting around the key $5,000 region per troy ounce in a context of humble gains in the Greenback on Monday. Additing to the vacillating mood, trade conditions remain thin amid the observance of the Presidents Day holiday in the US.

Bitcoin consolidates as on-chain data show mixed signals

Bitcoin price has consolidated between $65,700 and $72,000 over the past nine days, with no clear directional bias. US-listed spot ETFs recorded a $359.91 million weekly outflow, marking the fourth consecutive week of withdrawals.

The week ahead: Key inflation readings and why the AI trade could be overdone

It is likely to be a quiet start to the week, with US markets closed on Monday for Presidents Day. European markets are higher across the board and gold is clinging to the $5,000 level after the tamer than expected CPI report in the US reduced haven flows to precious metals.

Monero Price Forecast: XMR risks a drop below $300 under mounting bearish pressure

Monero (XMR) starts the week under pressure, recording a 4% decline at press time on Monday after a 7% drop the previous day, putting the $300 support zone in focus.