USD/CHF Price Analysis: Seesaws around 0.9260-0.9300 amid a risk-off market sentiment
- The USD/CHF sits near the weekly highs, advancing 0.27%.
- Failure of Russia-Ukraine discussions tilted the market mood negatively.
- USD/CHF Technical Outlook: Neutral upward biased, though downside risk remains.
The USD/CHF overnight witnessed a fresh weekly high above the 0.9300 mark but so far retreated 20-pips, as the market sentiment tilted negative on reports that Russia-Ukraine discussions in Turkey failed to deliver the advancement expected by market players. At 0.9289, the USD/CHF reflects the aforementioned risk-aversion mood.
In the meantime, European and US equity markets are retracing Wednesday’s gains, down between 1.16% and 3.19%, while the US Dollar Index, a gauge of the greenback’s value against a basket of six rivals, recovered the 98 mark, around 98.31 up 0.35%.
Aside from this, the USD/CHF overnight jumped from Thursday’s daily low at 0.9256 to 0.9280s but retreated towards the 100-hour simple moving average (SMA). When the US inflation figure crossed the wires, the pair jumped above 0.9300, though it gave back those gains, stabilizing around high’s 0.9270s.
USD/CHF Price Forecast: Technical outlook
The USD/CHF sits in a narrow trading range, between 0.9250-0.9300, bracing an eleven-month-old downslope trendline, though above of it. Worth mentioning that the daily moving averages (DMAs) reside below the spot price in a bullish order, so the path of least resistance might be upwards in the near term.
The USD/CHF first resistance would be 0.9300. Breach of the latter would expose November 24, 2021, daily high at 0.9373, followed by 0.9400.
