The pair is trading weak for the past five days and declined more than 400 pips. The hawkish comments from the SNB chairman and increase in demand for safe-haven assets support the Swiss franc. Markets eye the US Fed Cha…
The pair is trading weak for the past five days and declined more than 400 pips. The hawkish comments from the SNB chairman and increase in demand for safe-haven assets support the Swiss franc. Markets eye the US Fed Chairman's speech and flash manufacturing PMI for further direction. According to the CME Fed watch tool, the probability of a 50 bpbs rate hike dropped to 88.8% from 94.9% a day ago.
USDCHF hits an intraday low of 0.96104 and is currently trading around 0.96285.
Bullish scenario-
The primary level to Watch – is 0.9760. Any break above shows a minor bullishness. A jump to 0.9850/0.9900 is possible. Significant bullish continuation only if it breaks 1.0070.
Bearish scenario-
Intraday support – 0.9600. Break below that level will take the pair to 0.9500/0.9460.
Indicators (4-hour chart)
Directional movement index – Bearish
CCI (50) - bearish
It is good to sell on rallies around 0.9648-50 with SL around 0.9700 for a TP of 0.9500.
