USD/CHF Price Analysis: Trims Monday’s losses but remains range-bound within the 0.9300-70s area

The USD/CHF advances for the second consecutive day and is about to trim Monday’s losses amid a mixed market mood as portrayed by European and US equities fluctuating between gainers and losers as global bond yields fall. In the FX space, safe-haven peers remain the laggards, while the greenback remains defensive against most peers but the Swiss franc. At the time of writing, the USD/CHF is trading at 0.9333.

Meanwhile, US Treasury yields remain downward pressured, with the 10-year benchmark note down from 2.788% highs to 2.672%, a headwind for the greenback, as the US Dollar Index, a gauge of the buck’s value vs. six currencies, edges down 0.25%, sitting at 100.069.

USD/CHF Price Forecast: Technical outlook

Overnight, the USD/CHF was subdued In the Asian Pacific session, but in the European one, it edged up above the R1 daily pivot, lying at 0.9353, forming a tweezer-top candlestick chart pattern, which dragged the USD/CHF down towards the 100-hour simple moving average (SMA) at 0.9332.

Meanwhile, the USD/CHF daily chart depicts the pair as upward biased, but it has remained consolidated in the 0.9300-70 area since April 6, amidst the lack of a catalyst.

Upwards, the USD/CHF’s first resistance would be the March 28 daily high at 0.9381. A breach of the latter would expose the psychological 0.9400 level, followed by the YTD high at 0.9460. On the downside, the USD/CHF first support would be 0.9300. A decisive break would expose the 50-day moving average (DMA) at 0.9270, followed by the 100-DMA at 0.9234 and the 200-DMA at 0.9213.

Technical levels to watch