USDCHF managed to rebound today snapping six days of gains, as USD attracts some bids today after the unlimited quantitative easing announced by Fed the previous week. The two trillion dollar relief package also improved investors sentiment shifting their attention from safe-haven assets to more risky assets as we saw the last week with the rally in equities in USA and Europe.
On the economic data, the Dallas Fed Manufacturing Business Index slumped to -70 a big miss from the forecasts of 6.2 in March. The United States Pending Home Sales came in at 2.4% topping the expectations of -1% in February, the yearly reading for Pending Home Sales came in at 9.4%, beating the forecasts of 1.7%. From Switzerland, the KOF Leading Indicator came in at 92.9, topping expectations of 81.6 in March.
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USDCHF Technical Analysis
USDCHF is 0.68% higher at 0.9575 as the pair rebounds from two-week lows. USDCHF momentum is bearish as the sell-off the previous week breached below the 100-day moving average. The correction stalled at 0.95 mark for the second consecutive session, and bids managed to outpace offers amid USD strength across the board.
On the upside, first resistance for the pair stands 0.9589 the daily high. More supply would await at 0.9652 the high from Friday’s trading session. A critical resistance level stands at 0.9674 the 50-day moving average.
On the contrary, immediate support for USDCHF will be met at 0.9502 the daily low. If the pair breaks below the next target for bears is at 0.9455 the low from March 17th. Nore bids might emerge at 0.9394 the low from March 16th trading session.
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