• USD/CHF gained strong positive traction on Thursday amid resurgent USD demand.
  • The USD buying picked pace in reaction to an upbeat Retail Sales report for August.
  • A subsequent strength beyond July swing highs will set the stage for additional gains.

The USD/CHF pair added to its strong intraday gains and shot to the highest level since early July, around the 0.9265-70 region during the early North American session.

The US dollar was back in demand on Thursday and got an additional boost following the release of mostly upbeat US macro data. This, in turn, was seen as a key factor that assisted the USD/CHF pair to gain strong positive traction and build on the overnight rebound from weekly lows.

In fact, the headline Retail Sale smashed consensus estimates and surprisingly increased by 0.7% in August. Moreover, sales excluding autos rose 1.8% during the reported month. Separately, the Philly Fed Manufacturing Index jumped to 30.7 for the current month from 19.4 in August.

This helped offset a slight disappointment from the US Initial Jobless Claims and reaffirmed market expectations for an imminent Fed taper announcement later this year. This was evident from a sharp spike in the US Treasury bond yields, which further underpinned the greenback.

Meanwhile, the strong intraday momentum allowed the USD/CHF pair to push through a strong hurdle near the 0.9235-40 supply zone. Some follow-through buying beyond July swing highs will confirm a near-term bullish breakout and set the stage for a further near-term appreciating move.

Technical levels to watch

USD/CHF

Overview
Today last price 0.9264
Today Daily Change 0.0066
Today Daily Change % 0.72
Today daily open 0.9198
 
Trends
Daily SMA20 0.9167
Daily SMA50 0.9156
Daily SMA100 0.9116
Daily SMA200 0.9088
 
Levels
Previous Daily High 0.9206
Previous Daily Low 0.9164
Previous Weekly High 0.9235
Previous Weekly Low 0.9127
Previous Monthly High 0.9242
Previous Monthly Low 0.9019
Daily Fibonacci 38.2% 0.918
Daily Fibonacci 61.8% 0.919
Daily Pivot Point S1 0.9172
Daily Pivot Point S2 0.9147
Daily Pivot Point S3 0.913
Daily Pivot Point R1 0.9214
Daily Pivot Point R2 0.9231
Daily Pivot Point R3 0.9256

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD rebounds above 0.9800 on renewed dollar weakness

EUR/USD rebounds above 0.9800 on renewed dollar weakness

EUR/USD has gathered recovery momentum and turned positive on the day above 0.9800 in the American session on Monday. The disappointing ISM Manufacturing PMI from the US weighed heavily on the greenback, providing a boost to the pair.

EUR/USD News

GBP/USD clings to impressive daily gains near 1.1300

GBP/USD clings to impressive daily gains near 1.1300

GBP/USD has extended its daily rally and touched a fresh 10-day high above 1.1300 in the second half of the day on Monday. The UK government's U-turn on the fiscal plan and the broad-based selling pressure surrounding the greenback after PMI data fuel the pair's upside.

GBP/USD News

Gold bulls aim to challenge the $1,700 threshold

Gold bulls aim to challenge the $1,700 threshold

Gold picked up momentum after Wall Street’s opening, and runs above $1,690.00 a troy ounce, trading at its highest in three weeks. The greenback sheds ground on the back of the better performance of equities, coupled with tepid US data.

Gold News

Crypto markets could trap bears soon

Crypto markets could trap bears soon

Bitcoin price seems to be consolidating and forecasts a tiny rally as it approaches the lower limit of the ongoing range tightening. This development could see altcoins, including Ethereum and Ripple, trigger a quick run-up as well.

Read more

TSLA set to fall more as delivery data disappoints

TSLA set to fall more as delivery data disappoints

Tesla (TSLA) looks set to open sharply lower on Monday as the equity market continues to battle raging storms. Last week was a momentous one in currency markets, and those of us in equity land need to keep note of this.

Read more

Forex MAJORS

Cryptocurrencies

Signatures