- US Dollar remains weaker, despite upbeat US Nonfarm Payrolls report.
- The USD/CHF hit a daily high following the US NFP headline but plunged in the aftermath.
- USD/CHF: Break below 0.9370 to pave the way to the 0.9300 figure.
The USD/CHF trims some of its earlier losses/gains in a volatile trading session, spurred by a buoyant US Nonfarm Payrolls report for November, which increased the likelihood that the US Federal Reserve (Fed) will keep increasing borrowing costs. Nevertheless, manufacturing activity slowing reignited recession fears in the US economy. Therefore, the USD/CHF fluctuates around 0.9370s at the time of writing.
USD/CHF Price Analysis: Technical outlook
Friday’s session witnessed the USD/CHF rallying to its daily high of 0.9439 once the NFP headline crossed newswires. However, it was used by Swiss Franc (CHF) buyers to open fresh short positions on the USD/CHF, as shown by the major erasing its earlier gains, hoovering back below the psychological 0.9400.
Oscillators like the Relative Strength Index (RSI) at bearish territory is almost flat, suggesting consolidation ahead, while the 9-day Rate of Change (RoC) portrays sellers are in charge.
Therefore, the path of least resistance is downward biased. At the time of typing, the USD/CHF tests August 11 daily low of 0.9370, which, once cleared, could pave the way towards testing the fresh 7-month low of 0.9326, followed by the 0.9300 figure.
USD/CHF Key Technical Levels
