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10 Mar 2014
USD/CHF is limited by Jordan
FXStreet (Moscow) - USD/CHF stuck in 0.8770 area thinking of going lower, and reaching 0.8762 low by the moment.
Swissy is the best asset to wait and see
The pair tried to resume the rise on positive Non-Farm Payrolls, but the risk aversion again captured the market bringing the pair back to 0.8770 area. The looming Crimea referendum, and the escalating tensions between the USA, and Russia will keep the pair under pressure. Besides, the Swissy may get additional support from the scheduled for today Retail sales. Despite the slowing GDP growth in 4th quarter, the consumer confidence and the labor market are strong enough, to trigger further rise of consumption in Switzerland. Thus, the better than expected data may fuel the slide to 0.8750 support level, followed by 0.8722. Nevertheless, remember the SNB is watching the situation, and the chairman already told reporters: “We would intervene and buy unlimited quantities of foreign currency to defend the minimum exchange rate or take other measures if needed,” thus the possibility of a run higher is not ruled out.
What are today’s key USD/CHF levels?
Today's central pivot point can be found at 0.8783 with support below at 0.8750, 0.8722, and 0.8689, with resistance above at 0.8811, 0.8844, and 0.8872. Hourly Moving Averages are largely bearish, with the 200SMA at 0.8850 and the daily 20EMA bearish at 0.8884. Hourly RSI is neutral at 38.
Swissy is the best asset to wait and see
The pair tried to resume the rise on positive Non-Farm Payrolls, but the risk aversion again captured the market bringing the pair back to 0.8770 area. The looming Crimea referendum, and the escalating tensions between the USA, and Russia will keep the pair under pressure. Besides, the Swissy may get additional support from the scheduled for today Retail sales. Despite the slowing GDP growth in 4th quarter, the consumer confidence and the labor market are strong enough, to trigger further rise of consumption in Switzerland. Thus, the better than expected data may fuel the slide to 0.8750 support level, followed by 0.8722. Nevertheless, remember the SNB is watching the situation, and the chairman already told reporters: “We would intervene and buy unlimited quantities of foreign currency to defend the minimum exchange rate or take other measures if needed,” thus the possibility of a run higher is not ruled out.
What are today’s key USD/CHF levels?
Today's central pivot point can be found at 0.8783 with support below at 0.8750, 0.8722, and 0.8689, with resistance above at 0.8811, 0.8844, and 0.8872. Hourly Moving Averages are largely bearish, with the 200SMA at 0.8850 and the daily 20EMA bearish at 0.8884. Hourly RSI is neutral at 38.