Filed Under:
Forex pairs in this Article » EUR/USD, USD/CHF (Moscow) - USD/CHF is set to move on downwards pressured by weak US data, and technical factors; it opened the day at 0.9013 and reached morning low at 0.9006.

US report killed USD/CHF rally

After we saw 0.9060 level broken, the move accelerated and brought the pair to 0.90 area. The positions of USD/CHF were shaken by such a weak US Labor report. The economy added only 74K – the lowest level from January, 2011, meaning that QE3 tapering at the next FOMC meeting is not a done deal. In this environment, every first tier report from the USA may bring additional volatility to the pair. The only thing that may rescue the pair’s rally is very good Retail sales numbers, released tomorrow. If we see it, USD/CHF may recover to 0.9042 resistance level. The European session promises to be rather boring, as absence of economic catalysts and presence of strong round number support area at 0.90/0.8990 give the pair all the reasons for consolidation.

What are today’s key USD/CHF levels?

Today's central pivot point can be found at 0.9042 with support below at 0.8990 (S1), 0.8954 (S2) and 0.8902 (S3), with resistance above at 0.9078 (R1), 0.9130 (R2), and 0.9166 (R3). Hourly Moving Averages are largely bearish, with the 200SMA at 0.9030 and the daily 20EMA bullish at 0.9002. Hourly RSI is neutral at 30.
comments powered by Disqus