|

USD/CHF Price Analysis: Steady around 0.9330s as bulls prepare to reclaim 0.9400

  • The USD/CHF seesawed in the 0.9327-73 range as the pair failed to conquer 0.9400.
  • An upbeat market mood was no excuse for the safe-haven Swiss franc to gain vs. the greenback.
  • USD/CHF Price Forecast: A series of successive higher highs/lows in the 4-hour chart keep the uptrend intact.

The greenback gives back most of its weekly gains vs. the Swiss franc, as the USD/CHF gains 0.06% during the day amidst an upbeat market mood. At the time of writing, the USD/CHF is trading at 0.9338.

On Friday, global equities rallied, as Asian and European equities closed with gains. In the US, except for the heavy-tech Nasdaq, most indices are trading in the green as market players disregard Fed tightening and Russo-Ukraine tussles.

Overnight, the USD/CHF opened near the session’s lows early in the Asian Pacific session and since then edged higher, towards the daily high at 0.9373. However, once the North American session began, the pair slid and recorded a new daily low at  0.9327, right at the central daily pivot point.

USD/CHF Price Forecast: Technical outlook

The USD/CHF upward bias remains intact. The daily moving averages (DMAs) reside well below the spot price, though almost horizontally, beneath the 0.0.9264 50-DMA.

So far, the USD/CHF 4-hour chart shows that the spot price keeps trading above the bullish flag and printed successive series of higher highs/lows, meaning that the uptrend remains. In fact, the USD/CHF reached the daily high as the Relative Strength Index (RSI) headed towards 57.34, and since then, RSI consolidated as its slope turned horizontal.

That said, the USD/CHF might print another leg-up, and its first resistance would be 0.9349. A clear break would expose March 27 and 29 highs area around the 0.9370-80 region, which, once broken, might send the pairs towards March 16 daily high at 0.9460, but first would need to reclaim the 0.9400 mark once broken.

Technical levels to watch

USD/CHF

Overview
Today last price0.9338
Today Daily Change-0.0001
Today Daily Change %-0.01
Today daily open0.9339
 
Trends
Daily SMA200.932
Daily SMA500.9267
Daily SMA1000.9238
Daily SMA2000.9215
 
Levels
Previous Daily High0.9348
Previous Daily Low0.9318
Previous Weekly High0.9382
Previous Weekly Low0.9195
Previous Monthly High0.946
Previous Monthly Low0.915
Daily Fibonacci 38.2%0.9336
Daily Fibonacci 61.8%0.9329
Daily Pivot Point S10.9322
Daily Pivot Point S20.9304
Daily Pivot Point S30.9291
Daily Pivot Point R10.9352
Daily Pivot Point R20.9365
Daily Pivot Point R30.9383

Author

Christian Borjon Valencia

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

More from Christian Borjon Valencia
Share:

Editor's Picks

AUD/USD softens below 0.7050 on risk-off mood, China's Manufacturing PMI data looms

The AUD/USD pair declines to around 0.7025 during the early Asian session on Monday. The US Dollar strengthens against the Australian Dollar amid elevated geopolitical tensions in the Middle East. China’s RatingDog Manufacturing Purchasing Managers Index report is due later on Monday. Traders will closely monitor the Reserve Bank of Australia interest rate decision on Tuesday.



USD/JPY meets support near 157.00

USD/JPY retreats for the third consecutive day on Friday, revisiting the 157.00 region before attempting some recovery as investors continue to assess the latest BoJ meeting, where the central bank left rates unchanged, as widely anticipated.

Gold sinks to fresh yearly lows despite risk-off mood as Fed rate hike bets weigh

Gold slips to fresh year-to-date lows on Friday. The metal struggles despite a risk-off mood across markets, as expectations of further Federal Reserve (Fed) interest rate hikes continue to dominate price action, leaving Gold on track to end the month in negative territory.


Week ahead: Nonfarm Payrolls and US midterm elections take center stage
The US dollar traded higher against most of its peers this week, beginning the week on a solid footing amid expectations of a hawkish FOMC decision on Wednesday. Although market participants were convinced that a rate hike was off the table, they were on the lookout for clues and hints on whether they were correct in nearly fully pricing in a 25bps rate hike in December.
Middle East War updates: Iran warns of expanded strikes against US despite progress in talks

Here’s a brief recap of the key developments in the Middle East war that occurred over the weekend, which are expected to have a significant impact on markets in the upcoming week.

The 2% inflation target came from a throwaway remark. It now moves trillions
The Federal Reserve's 2% inflation goal grew out of an off-the-cuff remark by a New Zealand politician in 1988. Bond investors still price long-term US debt as if 2% holds, so a change in how the Fed measures inflation would move markets.