- Positive risk sentiment weighs on safe havens on Monday.
- US Dollar Index edges higher toward the 97.50 handle.
- The 10-year US Treasury bond yield adds nearly 3.5%.
The USD/CHF pair, which lost more than 80 pips last week, gained traction on Monday as the upbeat market mood made it tough for the CHF to find demand. After reaching a daily high of 0.9890 in the European morning, the pair has gone into a consolidation phase and was last seen trading at 0.9877, up 0.23% on a daily basis.
Focus shifts to US-China trade developments
Several headlines suggesting that the United States and China are closing in on concluding the phase-one of the trade deal provided a boost to the market sentiment at the start of the week. Reflecting the upbeat atmosphere, the 10-year US Treasury bond yield is up 3.4% on a daily basis.
Meanwhile, the US Dollar Index is making a technical correction after closing the previous week in the negative territory pressured by disappointing Purchasing Managers' Index (PMI) data releases and the Federal Reserve's neutral/dovish policy outlook. At the moment, the index is adding 0.25% on the day at 97.37.
During the early trading hours of the Asian session, Caixin Services PMI data from China will be watched closely by the market participants as a stronger-than-expected reading could ease concerns over an economic slowdown in China and allow risk-on flows to continue to dominate the markets.
Technical levels to consider
|Today last price||0.988|
|Today Daily Change||0.0023|
|Today Daily Change %||0.23|
|Today daily open||0.9857|
|Previous Daily High||0.9895|
|Previous Daily Low||0.985|
|Previous Weekly High||0.997|
|Previous Weekly Low||0.985|
|Previous Monthly High||1.0028|
|Previous Monthly Low||0.9837|
|Daily Fibonacci 38.2%||0.9867|
|Daily Fibonacci 61.8%||0.9878|
|Daily Pivot Point S1||0.984|
|Daily Pivot Point S2||0.9822|
|Daily Pivot Point S3||0.9794|
|Daily Pivot Point R1||0.9885|
|Daily Pivot Point R2||0.9912|
|Daily Pivot Point R3||0.993|
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