USD/CHF turns sideways to 0.9880, downside remains favored as SNB intervenes


  • USD/CHF is balancing below 0.9900 after the testimony of SNB’s Jordan.
  • SNB’s Jordan dictated that CHF is a safe haven and that negative monetary policy will support targeted inflation.
  • Fed policymakers are betting on two more interest rate hikes this year.

The USD/CHF pair is looking for an establishment below 0.9900 after witnessing a steep fall on Wednesday. The asset has remained vulnerable this week after failing to sustain above the psychological figure of 1.0000.

The Swiss franc bulls are strengthening against the greenback after the testimony of Swiss National Bank (SNB) Chairman Chris Jordan on Wednesday. SNB’s Jordan dictated in his speech that the Swiss franc (CHF) is a safe-haven asset and continuation of a negative monetary policy is necessary to justify the inflation parameter. The targeted inflation figure at 2% has been well maintained by the SNB and any temporary rise above the targeted figure will be diluted quickly due to intervention of the SNB. This week the spotlight will remain on Swiss Industrial Production. Earlier, it landed at 7.3%.

Meanwhile, the US dollar index (DXY) is weakened in front of the Swiss franc bulls despite soaring negative market sentiment. The DXY is hovering a little lower from 104.00 but is expected to surpass the figure amid an improved safe-haven appeal. Counting on galloping inflation, the Federal Reserve (Fed) may elevate its interest rates by 50 basis points (bps) twice in June and July. Philadelphia Fed Bank President Patrick Harker has favored a 25 bps rate hike tradition after announcing two jumbo rate hikes by the Fed in June and July.

USD/CHF

Overview
Today last price 0.9966
Today Daily Change 0.0031
Today Daily Change % 0.31
Today daily open 0.9935
 
Trends
Daily SMA20 0.9791
Daily SMA50 0.9519
Daily SMA100 0.9362
Daily SMA200 0.9288
 
Levels
Previous Daily High 1.0026
Previous Daily Low 0.9918
Previous Weekly High 1.0049
Previous Weekly Low 0.9872
Previous Monthly High 0.9759
Previous Monthly Low 0.9221
Daily Fibonacci 38.2% 0.9959
Daily Fibonacci 61.8% 0.9985
Daily Pivot Point S1 0.9893
Daily Pivot Point S2 0.9852
Daily Pivot Point S3 0.9786
Daily Pivot Point R1 1.0001
Daily Pivot Point R2 1.0067
Daily Pivot Point R3 1.0109

 

 

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

AUD/USD bounces from a fresh two-year low of 0.6760

AUD/USD bounces from a fresh two-year low of 0.6760

The AUD/USD pair bounced from its lowest since June 2020, now struggling to recover the 0.6800 threshold. Wall Street managed to trim most of its early losses, putting a halt to the greenback’s rally.

AUD/USD News

EUR/USD near fresh 20-year lows at around 1.0260

EUR/USD near fresh 20-year lows at around 1.0260

The EUR/USD pair collapsed amid fears of an EU recession, an energy crisis. Rush to safety benefited the greenback, which holds on to gains despite Wall Street trimming part of its early losses.

EUR/USD News

Gold at year lows as panic reaches trading desks

Gold at year lows as panic reaches trading desks

XAUUSD plummeted to a fresh 2022 low of $1,764.99 a troy ounce as hell broke loose. Gold Price is set to extend its collapse and test the $1,700.00 threshold.

Gold News

Who will catch the falling knife? pt.2

Who will catch the falling knife? pt.2

The cryptocurrency market is at a make-or-break point. Key price levels have been defined below to keep track of future directional bias.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!

BECOME PREMIUM

Forex MAJORS

Cryptocurrencies

Signatures