© Dukascopy Bank
"We'll probably see a widening of the [US] trade deficit in the first half of the year as imports rise faster and exports don't keep pace"
- Unicredit Group (based on Bloomberg)
Industry outlook
Support provided by 0.9080/60 is unlikely to be enough to keep the pair underpinned. USD/CHF is expected to dip down to 0.8750 (200 day ma) and afterwards commence recovering. Resistances will be encountered at 0.9174 and 0.9244/50.
Traders' sentiment
Since the US Dollar is the most popular currency at the moment, most of traders prefer acquiring it against the other currencies. Accordingly, USD/CHF is overbought, as 79% of positions on it are long and only 21% are short.
Long position opened
Investors should pay close attention to the identified resistance levels for the pair at 0.9148, 0.9181 and 0.9210.
Short position opened
Key support for USD/CHF intraday trading is situated at 0.9086. In case S1 is penetrated, traders with short positions are likely put their T/P orders at 0.9057 and 0.9024.
© Dukascopy Bank