USD/CHF edges up on risk-off trading, aiming for 0.8575
- The edges up on risk aversion but remains trapped within previous ranges.
- Trading is light with US markets closed on bank holidays.
- USD/CHF is on a corrective recovery, aiming for 0.8575 and 0.8665.
The US Dollar is going through a moderate recovery against the Swiss Franc on Monday. The Dollar Index is trimming some losses, favoured by the sourer market sentiment although it remains trapped within previous ranges.
The USD Index remains capped below the 102.75 resistance area, which is coincident with the USD/CHF’s 0.8575 level. The weaker market sentiment is providing some support to the safe-haven USD yet, trading volume is light with US markets closed on bank holidays.
The economic docket is empty today. In the US, on Tuesday, the New York Fed Empire State Manufacturing Index might provide some guidance for traders, although the highlights will be Wednesday’s Retail Sales and Friday’s Michigan Consumer Sentiment Index.
The pair is now in a corrective recovery after having depreciated nearly 10% in the last quarter of 2023. Immediate resistance is the mentioned 0.8575 and above here, the 38.2% Fibonacci retracement of the mentioned decline, at 0.8665.
Supports are 0.8460 and December’s low at 0.8325.
Technical levels to watch
This news was edited on January 15 at 14:05 GMT to correct the date of the US New York Fed Empire State Manufacturing Index, which is due on Tuesday and not on Monday as previously stated.
Author
Guillermo Alcala
FXStreet
Graduated in Communication Sciences at the Universidad del Pais Vasco and Universiteit van Amsterdam, Guillermo has been working as financial news editor and copywriter in diverse Forex-related firms, like FXStreet and Kantox.
