© Dukascopy Bank SA
- HSBC (based on Reuters)
Pair's Outlook
USD/CHF continues to cede ground. The currency pair has already fallen down to the weekly S1 and may still take a few steps downstairs. Nevertheless, near 0.87 (monthly S1, down-trend) the greenback should bottom out and commence a robust recovery. Potentially this could lead to a break-out to the upside from the one-year falling wedge.
Traders' Sentiment
More and more traders consider the dip in USD/CHF to be overstretched. Accordingly, the share of long positions grew from 72% up to 74%. At the same time, the demand for the buck is likely to increase even more in the future, as 79% of orders set on the pair are to acquire the U.S. Dollar against the Franc.
© Dukascopy Bank SA