USD/CHF Technical Analysis: Steps back from six-week-old trendline ahead of Swiss GDP
- USD/CHF pulls back from a multi-week long rising resistance line.
- Q3 Swiss GDP may soften on the QOQ while expected to rise on YoY.
- October top offers additional challenges to the buyers.
Following its failure to cross the near-term rising trend line, USD/CHF steps back to 0.9990 while heading into the European session on Thursday.
Traders await third quarter (Q3) Gross Domestic Product (GDP) data from Switzerland to determine the pair’s immediate moves. Forecasts suggest soft QoQ figure of 0.2% versus 0.3% prior while YoY reading could increase +0.8% from +0.2% earlier.
Technically, pair’s latest declines highlight the 10-day Exponential Moving Average (EMA) level of 0.9956 as the immediate support ahead of 23.6% Fibonacci retracement of August-October rise, near 0.9940.
On the contrary, pair’s rise beyond the eight-week-old resistance line, near 1.0005, could challenge the previous month high close to 1.0030. Also, pair’s sustained rise past-1.0030 enables it to aim for May-end top near 1.01000.
USD/CHF daily chart
Trend: Pullback expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
