USD/CHF penetrates 0.9208/0.9198

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"A potential driver for the dollar this week will be Wednesday's release of minutes from the U.S. Federal Reserve's meeting in late January."
- Brown Brothers Harriman (based on MarketWatch)


Pair's Outlook

USD/CHF is currently experiencing a serious sell-off, despite the fact that there was some distance until the down-trend line at 0.9304/0.8284, a key resistance, around which it was expected to commence focusing on lower levels. The interim support at 0.9208/0.9198 has been nearly breached and now a subsequent area at 0.9184/62 prevents an immediate drop down to 0.8981.

Traders' Sentiment
Regardless of the three fourths of market participants staying bullish on the pair, USD/CHF has slipped. However, being that the share of long positions did not decline relatively to the shorts, we may conclude that the traders expect the price to recover in the long run.
© Dukascopy Bank SA

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