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Fundamental Analysis of USD/CHF for July 7, 2017
Posted On 07 Jul 2017
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USD/CHF is currently ranging between the prices of 0.9550 to 0.9700. After a great non-volatile bearish trend, the pair is currently showing some bullish intervention after bouncing off the 0.9550 level. Today is a very important day for all USD pairs as a large number of high impact economic events will hit the wire today. Today, US Average Earning Index report is going to be published which is expected to show a slight rise to 0.3% from the previous value of 0.2%, Non-Farm Employment Change is expected to increase to 175k from previous value of 138k and Unemployment Rate is expected to remain unchanged at 4.3%. Along with economic events, today FED Monetary Policy report is going to be published today as well which is expected to be hawkish today. On the CHF side, today we have Unemployment Rate report published without any change at 3.2% and Foreign Currency Reserve showed a decrease of 1B at 693B from the previous value of 694B. CHF could not show any gain today due to downbeat economic reports and upcoming high impact US economic reports. Though the market is currently showing some bullish pressure, a good amount of volatility is expected to hit the market as the US will present a series of high impact reports today.
Now let us look at the technical chart. The price has bounced off the important support level of 0.9550 recently which did provide some bullish intervention in the pair currently. As the price is still in a strong bearish trend, the bias is still bearish until price breaks above 0.9700 with a daily close. Currently a break below 0.9550 is expected. If the price breaks below 0.9550 with a daily close, then we will be looking forward to sell with a target towards 0.9260 support level in the future. If the price remains inside the range of 0.9550 to 0.9700 without any break then further consolidation can be observed in the future.
The material has been provided by InstaForex Company – www.instaforex.com
