USD/CHF sellers maintain control under 0.933, a trading level extended by a double-top pattern. Still, the quote ended the day badly because hawkish data from the Swiss National Bank’s (SNB) quarterly report clashed with mixed data from the US.
“The level of uncertainty associated with the (Swiss GDP) prediction remains high,” the SNB said in its quarterly economic outlook the day before. The SNB also stated that inflation would stay high for the foreseeable future.
In contrast, consumer confidence in the US rose to a high of 108.3 in December, which was the highest level in eight months. This was higher than the market’s expectations of 101.0 and changed from the previous readings of 101.40. However, in November, US existing home sales were 4.09 million MoM, compared to 4.2 million projected and 4.43 million previously.
USD/CHF
In other news, Ukrainian President Volodymyr Zelensky’s visit to the United States and Russian President Vladimir Putin’s willingness to strengthen the country’s military capability test risk appetite.
Furthermore, the Bank of Japan’s second unscheduled bond purchase and a decline in US Treasury yields have recently put downward pressure on the US Dollar and weighed on USD/CHF prices.
USD/CHF Technical Outlook
The USD/CHF pair broke through and closed above the bearish channel’s resistance, kicking off a negative correction for the slide that began at 1.0145 and is expected to reach 0.9435 in the short term. As a result, a bullish bias is recommended for the coming period, with the understanding that breaking 0.9285 will halt the predicted climb and force the price to fall again.
Alternatively, a double top pattern is extending resistance at 0.9340; under this, the USD/CHF has a strong chance of showing a selling trend. So let’s keep an eye on it.
Today’s trading range is predicted to be between 0.9265 support and 0.9385 resistance.
Today’s projected trend: bearish under 0.9340
Read More:USD/CHF Struggles Under Double Top 0.9340 – Sell Now?
2022-12-26 05:26:07
