USD/CHF Price Analysis: Buyers reclaim the 50-DMA, eyeing a break of 0.9800 towards parity

During the week, the Swiss franc is still under heavy pressure, losing more than 2%.
Broad US dollar strength across the board underpins the USD/CHF.
USD/CHF Price Analysis: The pave towards parity is clear, but 0.9800 and 0.9975 are still on the way for USD/CHF buyers; otherwise, a re-test of 0.9700 is on the cards.

Christian Borjon Valencia FXStreet

The USD/CHF marches firmly for the sixth straight day, trading near weekly highs around 0.9790s, after falling from around YTD highs at parity, though since then, the major is up by almost 300 pips, though shy of reaching 0.9800. At the time of writing, the USD/CHF is trading at 0.9785.

Sentiment shifted for the worse in the last hour or so for no fundamental reason. However, traders should not tat US President Biden was due to meet with advisers on China’s tariffs late on Friday, though it remains unclear if he would make a decision or not, according to Reuters sources. Meanwhile, US equities trade in negative territory, and the greenback shifted positive, as shown by the US Dollar Index up 0.01%, at 107.044.

Aside from this, the USD/CHF began Friday’s session trading around 0.9730s and dipped toward the daily low around 0.9720 before rallying to the daily high at 0.9797.

USD/CHF Daily chart

The USD/CHF broke above the 50-day moving average (DMA), clearing the way for a re-test of parity. However, April’s 2020 high around 0.9802 has been a tough nut to crack, but once done, a rally towards USD/CHF’s parity is on the cards. Nevertheless, on its way north, the USD/CHF traders must overcome the May 10 high at 0.9975.

Otherwise, the major would be vulnerable to selling pressure, and a fall towards the 50-DMA at 0.9735 is on the cards, and then the USD/CHF could slip to the 0.9700 figure.

USD/CHF Key Technical Levels

USD/CHF

Overview
Today last price	0.9785
Today Daily Change	0.0047
Today Daily Change %	0.48
Today daily open	0.9735

Trends
Daily SMA20	0.9695
Daily SMA50	0.9739
Daily SMA100	0.954
Daily SMA200	0.9377

Levels
Previous Daily High	0.9749
Previous Daily Low	0.9682
Previous Weekly High	0.9642
Previous Weekly Low	0.9495
Previous Monthly High	1.005
Previous Monthly Low	0.9495
Daily Fibonacci 38.2%	0.9723
Daily Fibonacci 61.8%	0.9707
Daily Pivot Point S1	0.9695
Daily Pivot Point S2	0.9655
Daily Pivot Point S3	0.9628
Daily Pivot Point R1	0.9762
Daily Pivot Point R2	0.9789
Daily Pivot Point R3	0.9829

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

GBP/USD trims gains; back to 1.3450-ish

The persistent weakness hurting the Greenback lends support to the British Pound and the rest of the risk-linked assets, sending GBP/USD to new two-day tops past 1.3480 on Wednesday. Indeed, Cable advances for the second day in a row helped by the constant optimism around a potential US-Iran deal.

EUR/USD hovers around two-month peaks near 1.1560

EUR/USD advances for the second day in a row, challenging multi-week highs in the 1.1560 zone on Wednesday. The persistent weakness hitting the US Dollar underpins the move higher in spot while market participants continue to closely follow developments from the Middle East and gear up for upcoming key data releases in the US jobs market. On Thursday, all the attention will be on the release of weekly Claims alongside Challenger Job Cuts.

How Wall Street rigs the game [Video]

In this week’s Live from the Vault, Andrew Maguire is joined by Peter Antico and Sean Stone to discuss the Paradigm of Money - an in-depth expose of financial market corruption, from naked shorting to the two-tier system that protects Wall Street.

Ethereum: BitMine extends share buyback spree, scoops over 10K ETH

Ethereum treasury firm BitMine Immersion Technologies continued its share buyback spree last week after repurchasing 4.5 million shares of its common stock. This purchase brings the total stock buyback since July 1 to 16.1 million shares, part of a previously authorized $4 billion repurchase plan.

Taking out the lines in the sand

Good Day... And a Wonderful Wednesday to you! Well, just as I suspected, my beloved Cardinals' bats went silent last night in the Bronx, and they lost 0-2... The Yankees' bats were exactly a murderer's row, but they hit 2 homers and won. I said yesterday that the song : Just Once In My Life, could be the Cardinals' song after hitting 5 home runs the previous night!

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.