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"The minimum exchange rate remains for the foreseeable future the key monetary policy instrument. We're prepared to buy unlimited amounts of foreign currencies and, if necessary, take further measures immediately."
- Thomas Jordan, President of the SNB
Pair's Outlook
USD/CHF finished yesterday's session 50 pips over the tough resistance at 0.94, meaning the pair is now facing the 2013 Sep high. A jump over this peak will imply an advancement to 0.9750, 2013 Q3 high, due to absence of other important resistances capable of halting the recovery. Then the rate will be close to testing the last year's high at 0.9850. In the meantime, correction should be contained by the two-month up-trend, currently at 0.9350.
Traders' Sentiment
The Greenback outperforming the Franc did not introduce significant shift in the sentiment of the SWFX market—the portion of bulls contracted only three percentage points to 55%. Meanwhile, there are now only 43% of orders to buy the Buck (65% yesterday).
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