25 Sep 2013
USD/CHF heavy due to US “budget blues”
FXstreet.com (Athens)- The USD/CHF is losing ground today but still manages to maintain the 0.9100 support.
The USD/CHF struggles to keep the 0.9100 support but US data might decide upon
The goods data will be the usual roller-coaster of data volatility, while it is not usually sustained in aspects of market volatility. Furthermore, we should notice again that the Senate is set to hold a vote later today, on legislation passed by the House of Representatives to cover spending to the middle of the December. Furthermore, new home sales are seen partially bouncing back from the July weakness, but again it is considered also a volatile figure and most of the times brushed aside by the dollar. Last but not least, all traders all over the globe should bear in mind that the slowdown in private sector consumption- as it can be seen by durable goods data- may drag on the dollar as it limits the Fed’s scope to taper the asset-purchase program at the October 29-30 meeting.
Technical Outlook and Strategic Bias on USD/CHF
Karen Jones, Head Technical Analyst at Commerzbank suggests that “USD/CHF is trying to rise above the June low at 0.9130. Currently our favored view is for losses to hold over .9020. However we would need to see a rapid bounce back above the .9146 August low just to alleviate immediate downside pressure and signal a return to 0.9261 – the 23.6%retracement of the move down from July. We note the 13 count and the TD perfected set up on the daily chart and if short we would tighten stops.”
The USD/CHF struggles to keep the 0.9100 support but US data might decide upon
The goods data will be the usual roller-coaster of data volatility, while it is not usually sustained in aspects of market volatility. Furthermore, we should notice again that the Senate is set to hold a vote later today, on legislation passed by the House of Representatives to cover spending to the middle of the December. Furthermore, new home sales are seen partially bouncing back from the July weakness, but again it is considered also a volatile figure and most of the times brushed aside by the dollar. Last but not least, all traders all over the globe should bear in mind that the slowdown in private sector consumption- as it can be seen by durable goods data- may drag on the dollar as it limits the Fed’s scope to taper the asset-purchase program at the October 29-30 meeting.
Technical Outlook and Strategic Bias on USD/CHF
Karen Jones, Head Technical Analyst at Commerzbank suggests that “USD/CHF is trying to rise above the June low at 0.9130. Currently our favored view is for losses to hold over .9020. However we would need to see a rapid bounce back above the .9146 August low just to alleviate immediate downside pressure and signal a return to 0.9261 – the 23.6%retracement of the move down from July. We note the 13 count and the TD perfected set up on the daily chart and if short we would tighten stops.”