- After hitting 18-month lows, USD/CHF breaks back above the 0.9100 threshold.
- USD/CHF Price Analysis: Remains biased to the downside below 0.9180, but once recovered, buyers would target 0.9280.
USD/CHF rises strongly after falling to 18-month lows at 0.9059. However, it is picking up ground as the dollar strengthens following the US Federal Reserve’s rate hike decision on Wednesday, which was initially perceived as dovish in the currency space. However, the US dollar (USD) had erased most of Wednesday’s losses, a tailwind for USD/CHF. Therefore, USD/CHF is trading at 0.9221, up 0.50% from its opening price.
USD/CHF Price Analysis: Technical Insights
Following the Fed’s decision, the USD/CHF slide continued on Wednesday, hitting new all-time lows, which were broken on Thursday. As the North American session progressed, USD/CHF bulls entered 0.9050 and pushed the spot back above 0.91000.
Although the USD/CHF pair holds gains today, it remains biased to the downside and is expected to extend its losses as long as it holds below 0.9180. A break of 0.9059, the last year low, would set the stage to challenge the psychological barrier of 0.9000.
On the other hand, if USD/CHF recaptures the Feb 1 high of 0.9182, the test of 0.9200 would be aggravated. Once broken, the 20 day EMA is next, followed by the January 31 high at 0.9288, ahead of 0.9300.
Key USD/CHF Technical Levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
