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USDCHF

USDCHF rebounds from key support ahead of Swiss inflationUSDCHF snapped a two-week downtrend while bouncing off 100-DMA and a horizontal area from April 20. The corrective pullback, however, failed to provide a daily closing beyond multiple hurdles surrounding 0.9620. That said, the MACD and the RSI (14) also hint at the pair’s weakness ahead of June’s Consumer Price Index (CPI) for Switzerland. It’s worth noting that sellers could witness a pullback on firmer readings but the aforementioned horizontal support and the 100-DMA, respectively near 0.9540 and 0.9520, will be crucial for bearish confirmation. Should the quote drop below 0.9520, the odds of witnessing a slump towards March’s high, also the 61.8% Fibonacci retracement of January-May upside, near 0.9460, can’t be ruled out. On the contrary, downbeat Swiss data may extend the latest recovery towards breaking the 0.9620 resistance, a break of which could direct the run-up to the 38.2% Fibonacci retracement level of 0.9700. During the USDCHF advances past 0.9700, the 0.9715-20 area may act as a validation point for the north-run targeting the lows marked during early May and June, close to 0.9860. Overall, USDCHF remains on the bear’s radar unless crossing 0.9620 but the further downside needs validation from 0.9520.
by MTradingGlobal
USDCHF pullback is in the offing, focus on SNB’s JordanUSDCHF prints a five-day uptrend to refresh the yearly high at around 0.9460. The pair’s latest upswing took place from the 21-DMA and monthly support line. However, the overbought RSI and April 2021 peak near 0.9475 challenge the pair buyers ahead of a speech from the Swiss National Bank (SNB) Chairman Thomas Jordan. Even if the quote rises past 0.9475, an upward sloping trend line from late September, around 0.9485, will act like a tough nut to crack for the bulls. Also acting as an upward barrier is the 0.9500 psychological magnet. Alternatively, pullback moves may initially aim for the 0.9400 threshold before testing the short-term support line surrounding 0.9350. Even if the USDCHF bears manage to conquer the nearby trend line support, the 21-DMA level of 0.9326 and the 0.9300 round figure could entertain them. It’s worth noting, however, that the latest swing low, marked on March 31 around 0.9195, becomes important support to watch during the pair’s declines past-0.9300. Overall, the USDCHF upside is likely to fade soon and hence today’s speech from SNB Chief Jordan will be important to watch.
by MTradingGlobal