The USD/CHF pair retreated by 0.20% following the release of US labor data, which has raised expectations of aggressive rate cuts by the Federal Reserve. Currently trading at 0.8447, the pair hit a high of 0.8490 earlier in the day.
USD/CHF Price Forecast and Technical Analysis
Failure to surpass the key resistance level of 0.8530-50 led to a downward movement in the pair. With momentum favoring sellers, the Relative Strength Index (RSI) suggests a potential retest of the year-to-date low of 0.8400, reached on August 29.
If the pair breaks below 0.8400, the next support levels are at 0.8332 and 0.8300. On the upside, a bullish recovery would require clearing the August 15 swing high at 0.8748.
USD/CHF Price Action – Daily Chart
Analysis and Impact on Your Finances
The USD/CHF pair’s retracement highlights the impact of US labor data on currency markets. With expectations of Fed rate cuts rising, investors may see increased volatility in the USD/CHF pair.
For individuals trading or investing in USD/CHF, it is important to monitor key support and resistance levels such as 0.8400 and 0.8748. Understanding technical indicators like the RSI can help in making informed decisions.
Overall, the USD/CHF price forecast suggests potential downside risks, but a break above 0.8748 could signal a bullish trend. Stay informed and stay ahead in the financial markets.