© Dukascopy Bank
"The continued rebound in the equity market will contribute to an overall weaker dollar"
- Aviva (based on Reuters)
Industry outlook
USD/CHF is expected to erode resistance at 0.9250 and then remain on its course towards higher levels - 0.9317 (55 day ma) and 0.9595. From below the pair is supported by 0.9112, 0.9080 and 0.8990.
Traders' sentiment
USD/CHF currency pair is overbought, as the vast majority of traders (85%) is holding long positions, whereas bears are in distinct minority, constituting only 15% of the total amount of market participants.
Long position opened
The initial resistance level for the pair is 0.9324. If the price continues increasing, the investors will hold longs until the pair climbs up to 0.9294 or 0.9324.
Short position opened
Major market participants with short positions will hold their deals until the price slides down to the initial support level at 0.9154. If the price continues the downtrend, the dealers might wait for the Buck to depreciate down to 0.9124 or 0.9069.
© Dukascopy Bank