© Dukascopy Bank
"We continue to view the [US] labor market as gradually gaining momentum"
- Barclays Capital (based on Reuters)
Industry outlook
USD/CHF has penetrated the initial support at 0.9450 and is now moving in the direction of 0.9383 with the possibility of dropping as low as 0.9337/17. However, the latter level should be enough to withstand the downward pressure.
Traders' sentiment
The overwhelming majority of market participants (75%) is currently holding bullish trades, whereas only one fourth is in favour Swiss Franc's appreciation and therefore is staying bearish on the pair.
Long position opened
Investors should pay close attention to the identified resistance levels for the pair at 0.9523, 0.9602 and 0.9658.
Short position opened
Major market participants with short positions will hold their deals until the price slides down to the initial support level at 0.9388. If the price continues the downtrend, the dealers might wait for the Buck to depreciate down to 0.9332 or 0.9253.
© Dukascopy Bank