USD/CHF hangs near 3-week lows, just a few pips above 0.9800 handle


  • Bulls fail to capitalize on the early uptick, despite a combination of supporting factors.
  • The USD underpinned by tempered expectations for aggressive Fed rate cut in July.
  • The positive mood around equities does little to impress the bulls or lend any support.

The USD/CHF pair dropped to fresh session lows in the last hour, back closer to near three-week lows set on Friday, with bears now eyeing a follow-through weakness below the 0.9800 handle.

The pair failed to capitalize on its early uptick to an intraday high level of 0.9841, rather met with some fresh supply and drifted lower through the mid-European session on Monday. The intraday downtick remained unaffected by a follow-through US Dollar uptick and largely shrugged off the prevalent positive mood around equity markets.

The greenback continued gaining some follow-through traction on the back of tempered expectations for a 50 bps Fed rate cut, especially after St. Louis Fed President James Bullard on Friday said that the current US economic condition doesn't warrant a larger cut.

Meanwhile, improving global risk sentiment – as depicted by modest gains across European equities and which tends to undermine demand for the Swiss Franc’s safe-haven demand, also did little to impress the bulls or provide any meaningful impetus to the major.

Despite the pullback, the pair has managed to hold its neck just above the 0.9800 handle. In absence of any major market-moving economic releases, the pair seems more likely to consolidate in a range as investors look forward to the highly anticipated FOMC monetary policy meeting on July 30-31.

Technical levels to watch

USD/CHF

Overview
Today last price 0.9812
Today Daily Change -0.0006
Today Daily Change % -0.06
Today daily open 0.9818
 
Trends
Daily SMA20 0.9845
Daily SMA50 0.9935
Daily SMA100 1.0001
Daily SMA200 0.9981
Levels
Previous Daily High 0.9847
Previous Daily Low 0.9806
Previous Weekly High 0.9908
Previous Weekly Low 0.9806
Previous Monthly High 1.0017
Previous Monthly Low 0.9693
Daily Fibonacci 38.2% 0.9831
Daily Fibonacci 61.8% 0.9822
Daily Pivot Point S1 0.98
Daily Pivot Point S2 0.9782
Daily Pivot Point S3 0.9759
Daily Pivot Point R1 0.9842
Daily Pivot Point R2 0.9865
Daily Pivot Point R3 0.9883

 

 

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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD hits two-month lows amid USD strength

EUR/USD has pared its gains that followed upbeat preliminary PMIs for Germany came out above expectations, pointing to a recovery. The USD is advancing amid fears of the coronavirus.

EUR/USD News

GBP/USD drops below 1.31 amid USD strength, fails to sustain PMI gains

GBP/USD is trading below  1.31 after hitting a fresh high of 1.3172. The UK Manufacturing PMI beat with 49.8 and Services PMI with 52.9. The USD is gaining ground across the board.

GBP/USD News

Cryptos: Bears take over and draw a bloody moon

Despite appearances, Bitcoin is the asset with the best risk/benefit ratio. The current falls are adjusted to the ranges of the previous rise. Downward momentum expires in the first half of February.

Read more

Gold rebounds above $1560

The XAU/USD pair dropped to a daily low of $1556.70 during the European trading hours as the easing worries over coronavirus becoming a global epidemic and a broad-based USD strength put the pair under bearish pressure.

Gold News

USD/JPY drops to two-week lows near 109.30

The USD/JPY pair reversed its direction during the American trading hours as the risk-off atmosphere allowed the JPY to find demand as a safe-haven.

USD/JPY News

Forex MAJORS

Cryptocurrencies

Signatures