USD/CHF has been quite volatile and corrective this week after the impulsive bullish move broke above the 0.9950 level recently. Today is a very important day of USD having major high impact economic reports to be published which are expected to provide further direction in this pair. Today’s USD Average Hourly Earnings report is going to be published which is expected to increase to 0.3% from the previous value of 0.2%, Non-Farm Employment Change is expected to decrease to 182k from the previous figure of 222k and Unemployment Rate is expected to decrease to 4.3% from the previous value of 4.4%. As of the forecasts of these reports, USD is expected to provide mixed economic report today but as of the market sentiment and bias, USD is expected to gain some strength taking the reports as a push in the coming days. On the other hand, CHF has been quite positive with its economic reports this week like SECO Consumer Climate report was published as expected at -3 from the previous figure of -8, Retail Sales report showed increase to 1.5% from the previous negative value of -0.8% which was expected to be at 1.3% and Manufacturing PMI also showed better figure at 60.9 from the previous value of 60.1 which was expected to decrease to 58.9. The positive economic reports did stop the USD to gain momentum this week but if today USD economic reports come better than expected we might see USD continue its gain towards 1.01 resistance level in the coming days.
Now let us look at the technical view, the price is currently residing above the support level of 0.9550 and dynamic level support of 20 EMA which signals further bullish momentum in this pair towards the recent resistance at 0.9800 and later towards 1.01. As the price remains above the 0.9550 support level the bullish bias is expected to continue further in the coming days.
The material has been provided by InstaForex Company – www.instaforex.com