USD/CHF stands flat on quiet Thursday, with technical indicators near oversold territory

The USD/CHF is hovering around the 0.8835 level, reflecting slight losses on the day.
The pair continues consolidating, with indicators suggesting stagnation near oversold levels.
No relevant reports were released on Thursday, and US markets were closed as the country celebrated Thanksgiving.

Patricio Martín FXStreet

On Thursday, the USD/CHF pair experienced minor losses, nudging lower to trade around the 0.8835 mark. The marginal downtrend primarily stemmed from a relatively muted session, with the American traders on the sidelines celebrating Thanksgiving.

All eyes are on Friday when the S&P will release November's preliminary PMIs, which could impact the USD price dynamics and provide a clearer picture of the US economy. As the Federal Reserve (Fed) maintains a hawkish stance and could implement further tightening measures, positive figures may strengthen the USD via hawkish bets on the Fed.

A no-hike is already priced in for December, and markets are betting on rate cuts by mid-2024. However, it will come down to the incoming data, and before the last 2023 meeting, the Fed will get an additional Consumer Price Index (CPI) and Nonfarm Payrolls reports from November.

USD/CHF levels to watch

The indicators on the daily chart reflect that the pair may continue consolidating losses in the short term. The Relative Strength Index (RSI) nearing oversold conditions suggests that the selling momentum has been strong recently, indicating a potential short-term oversold bounce. However, the flat red bars of the Moving Average Convergence Divergence (MACD) give a nod towards a stagnant bearish sentiment. The pair is below the 20-day Simple Moving Averages (SMA), indicating that bears have gained some ground in the short term, reinforced by the bear's breather stance visible in the price chart.

On the broader scale, the pair is below the 20,100 and 200-day Simple Moving Averages (SMA), favouring the case of a bearish bias for the short-term.

Support Levels: 0.8820, 0.8800, 0.8780.
Resistance Levels: 0.8860, 0.8890 (100-day SMA), 0.8900.

USD/CHF daily chart

USD/CHF

Overview
Today last price	0.8837
Today Daily Change	-0.0001
Today Daily Change %	-0.01
Today daily open	0.8838

Trends
Daily SMA20	0.8969
Daily SMA50	0.9016
Daily SMA100	0.8895
Daily SMA200	0.8986

Levels
Previous Daily High	0.8875
Previous Daily Low	0.882
Previous Weekly High	0.9052
Previous Weekly Low	0.8853
Previous Monthly High	0.9244
Previous Monthly Low	0.8888
Daily Fibonacci 38.2%	0.8854
Daily Fibonacci 61.8%	0.8841
Daily Pivot Point S1	0.8814
Daily Pivot Point S2	0.879
Daily Pivot Point S3	0.8759
Daily Pivot Point R1	0.8868
Daily Pivot Point R2	0.8899
Daily Pivot Point R3	0.8923

Author

Patricio Martín

FXStreet

Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.

EUR/USD keeps the rangebound trade near 1.1850

EUR/USD is still under pressure, drifting back towards the 1.1850 area as Monday’s session draws to a close. The modest decline in spot comes as the US Dollar picks up a bit of support, while thin liquidity and muted volatility, thanks to the US market holiday, are exaggerating price swings and keeping trading conditions choppy.

GBP/USD flirts with daily lows near 1.3630

GBP/USD has quickly given back Friday’s solid gains, turning lower at the start of the week and drifting back towards the 1.3630 area. The focus now shifts squarely to Tuesday’s UK labour market report, which is likely to keep the quid firmly in the spotlight and could set the tone for Cable’s next move.

Gold sticks to a negative bias below $5,000; lacks bearish conviction

Gold remains depressed for the second consecutive day and trades below the $5,000 psychological mark during the Asian session on Tuesday, as a positive risk tone is seen undermining safe-haven assets. Meanwhile, bets for more interest rate cuts by the Fed keep a lid on the recent US Dollar bounce and act as a tailwind for the non-yielding bullion, warranting caution for bearish traders ahead of FOMC minutes on Wednesday.

AI Crypto Update: Bittensor eyes breakout as AI tokens falter

The artificial intelligence (AI) cryptocurrency segment is witnessing heightened volatility, with top tokens such as Near Protocol (NEAR) struggling to gain traction amid the persistent decline in January and February.

The week ahead: Key inflation readings and why the AI trade could be overdone

It is likely to be a quiet start to the week, with US markets closed on Monday for Presidents Day. European markets are higher across the board and gold is clinging to the $5,000 level after the tamer than expected CPI report in the US reduced haven flows to precious metals.

XRP steadies in narrow range as fund inflows, futures interest rise

Ripple is trading in a narrow range between $1.45 (immediate support) and $1.50 (resistance) at the time of writing on Monday. The remittance token extended its recovery last week, peaking at $1.67 on Sunday from the weekly open at $1.43.