USD/CHF rebounds from 1-week lows, remains below 1.0050

Swiss franc rises on Monday versus greenback but moves off highs.
USD/CHF outlook favors the downside while below 1.0050.

Matías Salord FXStreet

The Swiss Franc rose against the US dollar on Monday, on a quiet session amid a Holiday in the US. The move lower took place on the back of a slide of the greenback across the board. The DXY dropped modestly to 96.78 and pulled back further from the monthly high it hit on Friday at 97.37.

The USD/CHF bottomed at 1.0023, the lowest in a week and then trimmed losses on a quiet US session. As of writing, trades at 1.0040, down for the day and at the same level it had a week ago.

Despite moving off lows, the pair is consolidating below the 1.0040 area, a relevant short-term support. The negative tone could persist ahead of the Asian session, but if it rises above 1.0055/60 the greenback should recover strength.

Last week USD/CHF approached 1.0100 and reversed. So a clear break above is needed to open the doors to more gains for the greenback. On the opposite direction, under 1.0020 the next strong support is seen around 0.9940, (Jan 30 high / 20-day moving average).

Markets are expected to return to normality on Tuesday. Regarding data, the critical event ahead is the release of the FOMC minutes. Also, traders follow closely developments related to US-China trade talks and the possible tariffs to European cars going to the US.

More Levels

USD/CHF

Overview:
    Today Last Price: 1.0041
    Today Daily change: -0.0008 pips
    Today Daily change %: -0.08%
    Today Daily Open: 1.0049
Trends:
    Daily SMA20: 0.9991
    Daily SMA50: 0.9927
    Daily SMA100: 0.9949
    Daily SMA200: 0.9909
Levels:
    Previous Daily High: 1.009
    Previous Daily Low: 1.0039
    Previous Weekly High: 1.01
    Previous Weekly Low: 0.9988
    Previous Monthly High: 0.9996
    Previous Monthly Low: 0.9716
    Daily Fibonacci 38.2%: 1.0059
    Daily Fibonacci 61.8%: 1.0071
    Daily Pivot Point S1: 1.0029
    Daily Pivot Point S2: 1.0009
    Daily Pivot Point S3: 0.9979
    Daily Pivot Point R1: 1.008
    Daily Pivot Point R2: 1.011
    Daily Pivot Point R3: 1.013

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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