The USDCHF pair, currently at 0.89841, continues to increase for the second consecutive day and reaches the highest point of the week.
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- USD/CHF scales higher for the second straight day and climbs back to the weekly high.
The pair currently trades last at 0.89841.
The previous day high was 0.8987 while the previous day low was 0.8932. The daily 38.2% Fib levels comes at 0.8966, expected to provide support. Similarly, the daily 61.8% fib level is at 0.8953, expected to provide support.
The USD/CHF pair attracts some buyers for the second successive day on Thursday and climbs to the top end of its weekly range, closer to the 0.9000 psychological mark during the Asian session.
The US Dollar (USD) adds to the previous day’s strong gains and touches a fresh high since June 15 in the wake of Federal Reserve (Fed) Chair Jerome Powell’s hawkish remarks on Wednesday. Speaking at a European Central Bank (ECB) conference, Powell reiterated that two rate increases are likely this year and also said that he does not see inflation coming down to the Fed’s 2% target until 2025. This, in turn, reaffirms market bets for a 25 bps lift-off at the next FOMC policy meeting on July 25-26, which continues to underpin the Greenback and acts as a tailwind for the USD/CHF pair.
Apart from this, a generally positive tone around the equity markets is seen undermining the safe-haven Swiss Franc (CHF) and lending additional support to spot prices. That said, worries about a global economic downturn, along with reports that the US is planning more restrictions on semiconductor exports to China, keep a lid on any optimism. Investors also seem cautious ahead of the official Chinese PMI prints on Friday, which is expected to shed more light on a slowing post-COVID recovery in the world’s second-largest economy. This holds back bulls from placing fresh bets around the USD/CHF pair.
Even from a technical perspective, the recent repeated failures to find acceptance above the 50-day Simple Moving Average (SMA) warrants some caution before positioning for any further appreciating move. Market participants now look to the US economic docket, featuring the release of the final Q1 GDP print, the Weekly Initial Jobless Claims and Pending Home Sales data, due later during the early North American session. This might influence the USD price dynamics, which, along with the broader risk sentiment, provide a fresh impetus to the USD/CAD pair and produce short-term trading opportunities.
Technical Levels: Supports and Resistances
USDCHF currently trading at 0.8981 at the time of writing. Pair opened at 0.8969 and is trading with a change of 0.13 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 0.8981 |
| 1 | Today Daily Change | 0.0012 |
| 2 | Today Daily Change % | 0.1300 |
| 3 | Today daily open | 0.8969 |
The pair is trading below its 20 Daily moving average @ 0.9004, above its 50 Daily moving average @ 0.8979 , below its 100 Daily moving average @ 0.909 and below its 200 Daily moving average @ 0.9313
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 0.9004 |
| 1 | Daily SMA50 | 0.8979 |
| 2 | Daily SMA100 | 0.9090 |
| 3 | Daily SMA200 | 0.9313 |
The previous day high was 0.8987 while the previous day low was 0.8932. The daily 38.2% Fib levels comes at 0.8966, expected to provide support. Similarly, the daily 61.8% fib level is at 0.8953, expected to provide support.
Note the levels of interest below:
- Pivot support is noted at 0.8939, 0.8908, 0.8883
- Pivot resistance is noted at 0.8994, 0.9018, 0.9049
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 0.8987 |
| Previous Daily Low | 0.8932 |
| Previous Weekly High | 0.9013 |
| Previous Weekly Low | 0.8907 |
| Previous Monthly High | 0.9148 |
| Previous Monthly Low | 0.8820 |
| Daily Fibonacci 38.2% | 0.8966 |
| Daily Fibonacci 61.8% | 0.8953 |
| Daily Pivot Point S1 | 0.8939 |
| Daily Pivot Point S2 | 0.8908 |
| Daily Pivot Point S3 | 0.8883 |
| Daily Pivot Point R1 | 0.8994 |
| Daily Pivot Point R2 | 0.9018 |
| Daily Pivot Point R3 | 0.9049 |
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