USD/CHF testing 0.9075 support area ahead of Fed’s minutes

The US dollar breaks below 0.9100 to test two-week lows at 0.9075.
The Swiss franc appreciates amid a sourer market sentiment.
The market is awaiting the release of FOMC's minutes.

Guillermo Alcala FXStreet

The US dollar has pushed lower against the Swiss franc on Wednesday’s North American trading session, with the pair breaking below 0.9100 to test the bottom of the last two weeks range, at 0.9075.

The swissie picks up as risk appetite vanishes

The safe-haven Swiss franc is regaining lost ground on Wednesday as the risk appetite of the previous sessions vanished. Market enthusiasm about the progress on COVID vaccines and Joe Biden’s nomination of Janet Yellen as the next Treasury secretary has been offset by not so positive macroeconomic data.

US Weekly Jobless claims increased to 778,000 in the week of November 20, well above the 730.000 claims anticipated by the market. These figures mark the second consecutive weekly increase on fillings for unemployment benefits for the first time since July, showing that the pandemic is starting to strangle the US labour market.

The sourer market sentiment, probably also due to closing positions ahead of the Thanksgiving break, has reflected on the equity markets. The major European indexes have been mixed, while in Wall Street, the S&P 500 index trades 0.21% with the Nasdaq 0.3% up and the Dow Jones dropping 0.24%.

At the moment of writing, the market is awaiting the release of the FOMC last meeting’s minutes, eager to find any hint about the possibility of further monetary easing action in December to soften the economic impact of the surging coronavirus infections

Technical levels to watch

USD/CHF

Overview
Today last price	0.9086
Today Daily Change	-0.0025
Today Daily Change %	-0.27
Today daily open	0.9111

Trends
Daily SMA20	0.9123
Daily SMA50	0.9138
Daily SMA100	0.9158
Daily SMA200	0.9392

Levels
Previous Daily High	0.9136
Previous Daily Low	0.9098
Previous Weekly High	0.9152
Previous Weekly Low	0.9088
Previous Monthly High	0.9219
Previous Monthly Low	0.9031
Daily Fibonacci 38.2%	0.9113
Daily Fibonacci 61.8%	0.9122
Daily Pivot Point S1	0.9094
Daily Pivot Point S2	0.9076
Daily Pivot Point S3	0.9055
Daily Pivot Point R1	0.9132
Daily Pivot Point R2	0.9154
Daily Pivot Point R3	0.9171

Author

Guillermo Alcala

FXStreet

Graduated in Communication Sciences at the Universidad del Pais Vasco and Universiteit van Amsterdam, Guillermo has been working as financial news editor and copywriter in diverse Forex-related firms, like FXStreet and Kantox.

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