© Dukascopy Bank SA
"The end of August is the most likely date for a signal from the Fed for QE. That would be a signal for markets to sell the U.S. dollar"
- Westpac (based on Bloomberg)
Pair's Outlook
USD/CHF has strongly bounced off 0.9960/70 and breached an interim support at 0.9906, which has now become a resistance level. The currency pair may be a subject to a further decline down to 0.9853 or 0.9810/0.9795, but as long as a key zone at 0.9716/0.9680 stays intact, USD/CHF will remain bullish, being that most of technical indicators give buy signals on a weekly timeframe.
Traders' Sentiment
The share of bullish traders has increased up to 58%, though the change was too small to have an impact on the overall traders' sentiment, which for now is bullish. As for the orders, an overwhelming majority (71%) of them are to sell the U.S. Dollar against the Swissie.
© Dukascopy Bank SA