USD/CHF erases Tuesday's losses, trades above 0.9950

  • Upbeat market mood weighs on safe-haven assets on Wednesday.
  • US Dollar Index extends consolidation near the 99 handle.
  • Coming up: Fed Chairman Jerome Powell's speech at 15:00 GMT.

The USD/CHF pair slumped to a weekly low near the 0.99 handle on Tuesday and closed the third straight trading day in the negative territory. However, the recovering market sentiment on Wednesday made it difficult for the safe-haven CHF to preserve its momentum and allowed the pair to retrace a large portion of its fall. As of writing, the pair was up 0.26% on a daily basis at 0.9952.

Heightened hopes of the United States (US) and China reaching a trade deal and not allowing the conflict to escalate any further cause risk-on flows to dominate the market action on Wednesday. Reflecting the risk-on atmosphere, the 10-year US Treasury bond yield is adding nearly 2% on the day and the S&P 500 Futures is gaining 0.9% to suggest that Wall Street's main indexes are likely to open the day sharply higher.

According to Bloomberg, China is considering the option of making an interim trade deal with China despite the Trump administration's decision to blacklist Chinese technology firms.

USD stays calm ahead of key macro events

Meanwhile, ahead of Federal Open Market Committee (FOMC) Chairman Jerome Powell speech at 15:00 GMT, the US Dollar Index is moving sideways near the 99 mark. Later in the US evening, the FOMC is scheduled to release the minutes of its September meeting as well.

Previewing this event, "the minutes are likely to shed light on the Fed's thinking about the recent surges in repo market rates," TD Securities analysts said.

However, this has been partly addressed by Chair Powell, who stated on Tuesday that the Fed "will soon announce measures to add to the supply of reserves over time."

Technical levels to watch for


Today last price 0.9952
Today Daily Change 0.0020
Today Daily Change % 0.20
Today daily open 0.9932
Daily SMA20 0.9931
Daily SMA50 0.9862
Daily SMA100 0.9884
Daily SMA200 0.9952
Previous Daily High 0.9959
Previous Daily Low 0.9904
Previous Weekly High 1.0028
Previous Weekly Low 0.9904
Previous Monthly High 0.9988
Previous Monthly Low 0.9797
Daily Fibonacci 38.2% 0.9925
Daily Fibonacci 61.8% 0.9938
Daily Pivot Point S1 0.9904
Daily Pivot Point S2 0.9877
Daily Pivot Point S3 0.9849
Daily Pivot Point R1 0.9959
Daily Pivot Point R2 0.9987
Daily Pivot Point R3 1.0014



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD: Bullish case underpinned by weekend news

The EUR/USD pair has rallied Friday to close with gains for a third consecutive week at 1.1169. There was no particular catalyst for EUR gains. ECB scheduled to meet this week, although no fireworks expected this time.


GBP/USD: Uncertainty or relief? Action granted anyway

Hopes that the UK will avoid a hard-Brexit kept the Pound rallying against all of its major rivals by the end of last week, with GBP/USD finishing it a handful of pips below the critical 1.3000 level.


USD/JPY: Corrective slide to continue on sentiment

The USD/JPY pair closed the week at around 108.40, down Friday for a third consecutive day as the American currency remained under selling pressure. USD/JPY at risk of falling further only if it breaks below 108.00.


Gold turns flat above $1,490 as USD remains under pressure

After dropping to a daily low of $1,485, the XAU/USD pair staged a modest rebound during the American trading hours and turned flat on the day near $1,492.

Gold News

China’s downward economic path offers no escape from its trade problems

There were no surprises in China’s GDP figures as the government portrays an economy slipping steadily lower giving little promise of improvement or support for the waning global expansion.

Read more