- USD/CHF falls back below the 0.9300 level on choppy trading conditions fueled by headlines, but is up 0.4%.
- The pair backed away from headlines that Ukraine is no longer insisting on NATO membership, raising hopes of a ceasefire.
After momentarily rising to more than one-month highs above the 0.9300 level, a sudden improvement in risk appetite as a result of headlines suggesting that Ukraine is no longer insisting on NATO membership caused the USD/CHF fell back to 0.9280. The pair was up 0.3% on the day, with traders assessing the latest change in Ukraine’s stance on NATO as insufficient to meet Russian demands for a ceasefire.
Prior to these headlines, the main focus of the day was on new Western sanctions against Russia, with the US banning all imports of Russian energy and the UK announcing plans to rapidly phase out imports. While the latest headlines out of Ukraine have caused a pullback in major commodity prices from the previous session’s highs, there hasn’t exactly been a huge reversal to the downside either. For that reason, for now, the US dollar is likely to hold a decent safe haven supply.
That suggests that USD/CHF could well remain well supported near the 0.9300 level and close to multi-week highs. The USD has other factors in its favor that also favor it against its safe haven peer, the CHF. Amid elevated US inflation (Thursday’s data will be a reminder of this), the Fed will remain on track to significantly tighten policy in the coming quarters. Furthermore, the US is a net exporter of energy, which protects the US dollar from the negative impact of rising oil prices, something the CHF cannot count on.
Additional technical levels
USD/CHF
| Panorama | |
|---|---|
| Last Price Today | 0.9289 |
| Today’s Daily Change | 0.0033 |
| Today’s Daily Change % | 0.36 |
| Today’s Daily Opening | 0.9256 |
| Trends | |
|---|---|
| 20 Daily SMA | 0.922 |
| 50 Daily SMA | 0.9203 |
| 100 Daily SMA | 0.9207 |
| 200 Daily SMA | 0.9189 |
| levels | |
|---|---|
| Previous Daily High | 0.9272 |
| Previous Daily Minimum | 0.9166 |
| Previous Maximum Weekly | 0.9278 |
| Previous Weekly Minimum | 0.915 |
| Monthly Prior Maximum | 0.9297 |
| Previous Monthly Minimum | 0.915 |
| Daily Fibonacci 38.2% | 0.9232 |
| Daily Fibonacci 61.8% | 0.9206 |
| Daily Pivot Point S1 | 0.9191 |
| Daily Pivot Point S2 | 0.9125 |
| Daily Pivot Point S3 | 0.9084 |
| Daily Pivot Point R1 | 0.9297 |
| Daily Pivot Point R2 | 0.9338 |
| Daily Pivot Point R3 | 0.9404 |
Source: Fx Street
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