The pair USDCHF, which is currently at 0.86027, is reversing the previous day’s temporary recovery from its lowest point since January 2015.

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• USD/CHF fades the previous day’s corrective bounce off the lowest level since January 2015.

The pair currently trades last at 0.86027.

The previous day high was 0.8632 while the previous day low was 0.8566. The daily 38.2% Fib levels comes at 0.8607, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8591, expected to provide support.

USD/CHF drops back to 0.8600, reversing Friday’s recovery from a multi-year low, as traders seek more clues to defend the US Dollar’s rebound heading into Monday’s European session. That said, a lack of major incentives push traders to reassess the previous day’s corrective bounce, especially amid the mixed US data, sluggish mood and a two-week blackout for Fed policymakers ahead of the July monetary policy meeting.

US Dollar Index (DXY) struggles to defend the two-day recovery from the lowest level in 15 months, clings to mild gains near 99.95 by the press time. The greenback’s gauge recovered from a multi-month low after the preliminary reading of the University of Michigan’s (UoM) Consumer Confidence Index and Consumer Inflation Expectations for July. Also adding strength to the corrective bounce could be the hawkish comments from Federal Reserve (Fed) Governor Christopher Waller.

It’s worth noting, however, that the Fed blackout and mixed headlines about China joining bond market inaction in Asia, mainly due to Japan’s holiday, restrict the USD/CHF moves of late. The same also allows the traders to rethink the previously hawkish bias surrounding the US Federal Reserve (Fed), backed by Friday’s data and comments from Fed’s Waller.

Elsewhere, fears that the Swiss National Bank (SNB) will remain hawkish, contrary to the mixed concerns about the Fed’s next moves, also weigh on the USD/CHF price.

Amid these plays, S&P500 Futures print mild losses whereas the US 10-year and two-year Treasury bond yields remain sluggish after falling heavily in the last week.

Looking ahead, the second-tier US activity and Retail Sales data may entertain the USD/CHF pair traders amid a light calendar.

A daily closing beneath a six-month-old descending support line, around the 0.8600 round figure by the press time, becomes necessary for the USD/CHF pair’s further dominance. However, the nearly oversold RSI (14) line and receding bearish bias of the MACD indicator favor the short-term recovery of the pair.

Technical Levels: Supports and Resistances

USDCHF currently trading at 0.8607 at the time of writing. Pair opened at 0.8619 and is trading with a change of -0.14% % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 0.8895, 50 SMA 0.8965, 100 SMA @ 0.904 and 200 SMA @ 0.9253.

The previous day high was 0.8632 while the previous day low was 0.8566. The daily 38.2% Fib levels comes at 0.8607, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.8591, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 0.858, 0.854, 0.8515
• Pivot resistance is noted at 0.8645, 0.8671, 0.8711

[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.

1. EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
2. EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group

Share this:

• Facebook
• X

Like this:

Like Loading...