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"We would not expect to see the dollar benefit from any storm-related safe-haven demand"
- Rabobank (based on MarketWatch)
Pair's Outlook
The currency couple did not capitulate after the initial failure and is attempting to overcome the 55-day SMA at 0.9361 anew. Provided that this resistance eventually gives in, the area at 0.9398/0.9440 should enforce a reversal and prevent further rally. Regardless, the bias stays from neutral to negative, with the nearest supports situated at 0.9331/12 and 0.9276.
Traders' Sentiment
The fact that the Swiss Franc is one of the least preferred currencies among its major peers, being bought in 28% of cases, is reflected in positioning of market participants on USD/CHF, where 72% of traders are bullish and merely 28% are bearish. Additionally, the ratio of buy to sell orders is three-to-two.
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