USD/CHF underpinned by 0.9488/68

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Despite some relief over a relatively smooth reopening of the banks in Cyprus, markets will continue monitoring for signs of broader contagion as investor concerns shift to other European countries with vulnerable banking sectors."
- BNP Paribas (based on Reuters)


Pair's Outlook

As suspected, the currency pair was unable to hurriedly penetrate 0.9553/49, but instead returned down to 0.9488/68, gaining a foothold above the up-trend support line. As soon as the temporary weakness fades away, USD/CHF should again challenge 0.9553/49, but this time successfully, so that it could move towards its long-term goals—0.9567 first, then 0.9972.

Traders' Sentiment
In light of price's inactivity the shares of long (38%) and short (62%) positions are stable as well and thus continue speaking about market participants' conviction that the pair is to decline. On the other hand, the percentage of buy orders has sharply increased up to 53% from 45% yesterday.
© Dukascopy Bank SA

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