© Dukascopy Bank SA
"The U.S. data has been relatively supportive for the dollar."
- Bank of New Zealand (based on Bloomberg)
Pair's Outlook
USD/CHF is currently forming a flag pattern, which implies resumption of the July rally at some point. The pair has just confirmed the support at 0.9016 (monthly PP), and it is rapidly advancing towards 0.91, which has been preventing appreciation of the Dollar for the past three weeks. A breach of this resistance will instantly endanger the supply area around 0.9160, where the monthly R1 merges with the 2014 high.
Traders' Sentiment
The U.S. Dollar becoming more expensive did not have any effect on the positioning of the market—just as yesterday, 74% of open positions are long. As for the orders, their portion 50 pips from the spot dropped quite noticeably, from 69 to 44%.
© Dukascopy Bank SA