3 Sep 2013
USD/CHF lost ground on inaccurate report
FXstreet.com (Athens) - The USD/CHF was heading strongly upwards, before an inaccurate Russian report as of "Russia says rocket launch seen in Mediterranean Sea" appeared across the board; now the pair is on the upper level again.
The USD/CHF tumbled on false Russian ‘alarm’; now trading upwards again
Traders might not taken aback that the USD/CHF lost around 25 pips after the inaccurate report appeared on board; it is more than plausible, that the ‘Swissie’ as one of the absolute ‘safe-haven’ currencies, gets boosted in any ‘crisis’ issue. However, after news wire said that the US refused the Russian reports, the pair plucked up the strength to rise again. Investors might be beneficial to take into consideration, that the ‘swissie’ is very sensitive to any kind of jitter, i.e. Syrian missile headlines highlight how sensitive market is right now.
Technical Outlook and Strategic bias on USD/CHF
Stephen Gallo from BMO FX Strategy Daily, suggests that “We think the underlying bid tone in the USD reflects the fact that economic data from the US this week are again expected to be broadly consistent with a September Fed taper. We have to assume recent chatter about the $15.0-$25.0 billion range for “Septaper” is correct…..A lack of destabilizing headlines along the aforementioned lines is a “big ask”. But in a market so fraught with complexity, we’re forced to keep things relatively simple. On the assumption that we are in something of a “lull” in the Syria situation until next week, we’re content to buy USD/CHF on the dips as long as US data don’t surprise to the worse”. At the time of writing the pair is trading at 0.9365, up 0.20%, nearly its daily highs (0.9376). The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support can be found at 0.9326, 0.9309, 0.9279 and resistance at 0.9360, 0.9395 and 0.9419, respectively.
The USD/CHF tumbled on false Russian ‘alarm’; now trading upwards again
Traders might not taken aback that the USD/CHF lost around 25 pips after the inaccurate report appeared on board; it is more than plausible, that the ‘Swissie’ as one of the absolute ‘safe-haven’ currencies, gets boosted in any ‘crisis’ issue. However, after news wire said that the US refused the Russian reports, the pair plucked up the strength to rise again. Investors might be beneficial to take into consideration, that the ‘swissie’ is very sensitive to any kind of jitter, i.e. Syrian missile headlines highlight how sensitive market is right now.
Technical Outlook and Strategic bias on USD/CHF
Stephen Gallo from BMO FX Strategy Daily, suggests that “We think the underlying bid tone in the USD reflects the fact that economic data from the US this week are again expected to be broadly consistent with a September Fed taper. We have to assume recent chatter about the $15.0-$25.0 billion range for “Septaper” is correct…..A lack of destabilizing headlines along the aforementioned lines is a “big ask”. But in a market so fraught with complexity, we’re forced to keep things relatively simple. On the assumption that we are in something of a “lull” in the Syria situation until next week, we’re content to buy USD/CHF on the dips as long as US data don’t surprise to the worse”. At the time of writing the pair is trading at 0.9365, up 0.20%, nearly its daily highs (0.9376). The FXstreet.com Trend Index shows the pair to be slightly bearish. Daily pivot point support can be found at 0.9326, 0.9309, 0.9279 and resistance at 0.9360, 0.9395 and 0.9419, respectively.