USD/CHF closes in on 0.9304/0.9294

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The next risk event is Italy's general election. Should the voting result in an administration that reverses austerity, it will spur risk-off moves in financial markets."
- Mizuho Securities Co. (based on Bloomberg)


Pair's Outlook

The currency pair is slowly crawling upwards and the rally looks fragile, being that USD/CHF is approaching the upper edge of a falling 150-day long channel at 0.9304/0.9294, while technical studies are bearish, suggesting that a reversal is underway. Accordingly, the bias towards the price in the medium term is strongly negative.

Traders' Sentiment
Among its crosses the Swiss Franc was bought in merely 27% of all trades, meaning that it is one of the least preferred currencies in the SWFX marketplace. The similar situation is observed with USD/CHF currency pair in particular, where 75% of positions are long and only 25% are short.
© Dukascopy Bank SA

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