• USD/CHF is trading flat just above 0.9250, unmoved by the latest weaker than expected UoM sentiment data.
  • Dollar bulls may be disappointed by the lack of post-hot CPI data upside, amid fears front-loaded tightening will hit growth.

Much weaker than expected University of Michigan Consumer survey data, which revealed sentiment to have broadly deteriorated to its worst levels since 2011, failed to shift USD/CHF out of intra-day ranges, with the pair for now remaining supported above 0.9250. The pair is currently trading flat, having come close to but failed to test 0.9300 for a second successive session. Dollar bulls might be disappointed at the lack of follow-through in terms of post-hot US Consumer Price Inflation data upside, despite the hawkish shift in Fed tightening expectations and subsequent sharp rise in yields across the US curve.

The US dollar’s reluctance to stage a more meaningful rally, which for USD/CHF would likely look like a move above 0.9300 and a test of H2 2021 and 2022 highs around 0.9350, has perplexed analysts. Some have pointed to the pronounced, ongoing flattening of the US yield curve which on Friday saw the 2-year 10-year spread drop to its lowest in over 18 months at under 40bps. A flatter curve is seen by many as indicative of softer long-term growth expectations.

The hawkish shift in Fed tightening expectations of recent months has been the major driver of the flattening and likely speaks to a fear that by tightening rates earlier and more aggressively, the Fed may cap long-term growth prospects. This fear may be the major factor holding USD/CHF back from moving up a gear and charging back above 0.9300. For the pair to challenge post-pandemic highs in the upper 0.9400s, long-term US yields are likely going to need to see further upside and thus the US curve perhaps steepens a little to reflect greater confidence in long-term US growth.

USD/Chf

Overview
Today last price 0.9257
Today Daily Change -0.0010
Today Daily Change % -0.11
Today daily open 0.9267
 
Trends
Daily SMA20 0.9211
Daily SMA50 0.9203
Daily SMA100 0.9217
Daily SMA200 0.9171
 
Levels
Previous Daily High 0.9297
Previous Daily Low 0.9227
Previous Weekly High 0.9343
Previous Weekly Low 0.9177
Previous Monthly High 0.9343
Previous Monthly Low 0.9092
Daily Fibonacci 38.2% 0.927
Daily Fibonacci 61.8% 0.9254
Daily Pivot Point S1 0.9231
Daily Pivot Point S2 0.9194
Daily Pivot Point S3 0.9161
Daily Pivot Point R1 0.9301
Daily Pivot Point R2 0.9334
Daily Pivot Point R3 0.9371

 

 

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD recovers above 1.0400, looks to post weekly gains

EUR/USD recovers above 1.0400, looks to post weekly gains

EUR/USD regained its traction after dropping toward 1.0350 in the early American session and climbed above 1.0400. Trading conditions remain thin on Black Friday and the pair remains on track to end the week in positive territory.

EUR/USD News

GBP/USD recovers toward 1.2100 as US Dollar loses strength

GBP/USD recovers toward 1.2100 as US Dollar loses strength

GBP/USD managed to stage a recovery toward 1.2100 in the American session on Friday and now looks to register gains for the third straight week. The US Dollar struggles to preserve its strength as markets remain subdued on Black Friday. 

GBPUSD News

Gold steadies near $1,750 as US yields retreat

Gold steadies near $1,750 as US yields retreat

Gold price continues to move sideways at around $1,750 heading into the weekend. The benchmark 10-year US Treasury bond yield retreated from the daily high it touched above 3.75% earlier in the day, allowing XAU/USD to erase a portion of its daily losses.

Gold News

Bitcoin: Assessing chances of one last bear market rally for 2022

Bitcoin: Assessing chances of one last bear market rally for 2022

Bitcoin price is in a good place to trigger another bear market rally from a high-time frame perspective. This development, combined with the optimistic outlook seen in on-chain metrics, further strengthens the possibility of a happy ending to 2022.

Read more

FX next week and yield curve inversions

FX next week and yield curve inversions

Since the Fed's last raise November 3, Fed Funds rate opens and closes at 3.83. The Fed Funds rate once traded freely on its own with highs and lows as any financial instrument. In 2000, Central banks implemented meetings every 6 weeks.

Read more

Forex MAJORS

Cryptocurrencies

Signatures