USD/CHF fighting back towards 0.9100 as Swiss Franc tries to pump the brakes

The USD/CHF in dropping into new daily lows near 0.9140.
CHF bidders are looking to rebound from consistent declines against the USD.
The trading week is set to be capped off by US Dollar flows heading into Friday's NFP.

Joshua Gibson FXStreet

The USD/CHF is extending a rebound from recent highs as CHF bulls are set to push the Swiss Franc (CHF) back to the 0.9100 handle against the US Dollar (USD).

The Swiss National Bank (SNB) delivered a rapid-fire five consecutive rate hikes this year, and now the Swiss central bank is set to hold steady as it surveys the results of its labors.

Switzerland is now poised as the pre-eminent recovery case for the European Union (EU), with the Swiss economy sporting one of the lowest inflation rates in the world and the SNB stands tall as one of the few central banks with inflation measures below their target range of 0-2%.

Swiss inflation fell 0.1% in September, and annualized inflation measured 1.7%, far below the EU's average 4.3% inflation for the same period.

Analysts call for further Franc firmness ahead

Analysts at MUFG are expecting Swiss Franc strength to continue looking forward on the back of wobbly global economic growth.

Franc strength to be more evident against the US Dollar in 2024 – MUFG

On the US side, Initial Jobless Claims stumped expectations, coming in at a forecast-beating 207K versus the 210K expected. The previous jobless claims reading was revised upwards from 204K to 205K.

Next up, traders will be looking ahead to Friday's US Non-Farm Payrolls. NFP is forecast to print at 170K this month, compared to the previous reading of 187K.

USD/CHF technical outlook

The USD/CHF is down 0.40% or just under 40 pips in Thursday's trading, slipping further back from the recent highs near 0.9250. The Franc has fallen significantly against the US Dollar in recent history, and the Greenback has climbed over 8% against the CHF from the last bottom at 0.8550.

The trick for USD/CHF bidders will be to establish a bullish continuation should bids fall back to the 200-day Simple Moving Average (SMA) near 0.0925, while sellers will want to make a decisive break of the same level and push past the 100-day SMA near 0.8900.

USD/CHF daily chart

USD/CHF technical levels

USD/CHF

Overview
Today last price	0.9138
Today Daily Change	-0.0034
Today Daily Change %	-0.37
Today daily open	0.9172

Trends
Daily SMA20	0.9048
Daily SMA50	0.8893
Daily SMA100	0.8904
Daily SMA200	0.9029

Levels
Previous Daily High	0.9232
Previous Daily Low	0.9144
Previous Weekly High	0.9225
Previous Weekly Low	0.9061
Previous Monthly High	0.9225
Previous Monthly Low	0.8795
Daily Fibonacci 38.2%	0.9178
Daily Fibonacci 61.8%	0.9199
Daily Pivot Point S1	0.9133
Daily Pivot Point S2	0.9094
Daily Pivot Point S3	0.9045
Daily Pivot Point R1	0.9222
Daily Pivot Point R2	0.9272
Daily Pivot Point R3	0.9311

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

EUR/USD looks to regain the 200-day SMA

EUR/USD regains some balance and trade just above 1.1600 the figure ahead of the opening bell in Asia. The pair initially dipped to the 1.1530 zone for the first time since November, always following the stronger US Dollar and the marked flight-to-safety in the context of the ongoing Middle East crisis

GBP/USD slips below key averages as geopolitical risks mount

GBP/USD fell about 0.35% on Tuesday, settling around 1.3350 after slipping below the 200-day Exponential Moving Average for the first time since early December. The pair has pulled back sharply from its late-January high near 1.3870, shedding over 500 pips in a series of lower highs and lower lows.

Gold falls to near $5,100 as inflation fears weigh amidst Middle East conflict

Gold price faces some selling pressure near $5,100 during the early Asian session on Wednesday. The precious metal falls amid a renewed US Dollar demand and dimming prospects for US rate cuts. The US ISM Services Purchasing Managers Index report will be published later on Wednesday.