© Dukascopy Bank SA
"Powell said the Fed is likely to hike in the middle of next year, which is good news for dollar-bullish people, and also good to make the market more stable."
- Brown Brothers Harriman (based on Reuters)
Pair's Outlook
USD/CHF confirmed presence of the strong demand around 0.9550 yesterday. There the currency pair encountered the monthly pivot point that coincides with the weekly S1 and 55-day SMA and surged more than 90 pips as a result. Now, if the Greenback manages to gain a foothold above the weekly PP at 0.9620, the currency will probably move higher, in the direction of the major resistance at 0.9750 (2014 high, weekly R2 and monthly R1).
Traders' Sentiment
The sentiment of the SWFX market remains heavily in favour of the Dollar—as many as 66% of all traders believe the US currency will keep gaining ground. At the same time, the difference between the buy and sell orders is negligible—only four percentage points.
© Dukascopy Bank SA