FXStreet (Edinburgh) – The Swiss franc remains on the defensive vs. the dollar today, sending USD/CHF to test highs near 1.0220 although losing some momentum afterwards.
USD/CHF supported around 1.0150
The pair is recovering part of yesterday’s sharp retracement to the mid-1.0100s in response to a fresh wave of selling pressure that was hitting the dollar across the board.
Today’s softer tone surrounding the safe haven CHF has been pushing spot higher, although the upside seems to be somehow capped around 1.0250, recent highs. SNB’s T.Jordan was on the wires early in Europe, reiterating once again that the franc remains ‘overvalued’ and the central bank is ready to intervene if necessary. Jordan, however, declined to comment whether the SNB has been intervening lately.
USD/CHF relevant levels
At the moment the pair is advancing 0.22% at 1.0213 facing the next hurdle at 1.0262 (high Jan.29) ahead of 1.0300 (psychological level) and finally 1.0335 (high Nov.27). ON the other hand, a break below 1.0107 (low Jan.28) would open the door to 1.0043 (55-day sma) and then 0.9994 (61.8% Fibo of 1.0335-0.9784).
(Market News Provided by FXstreet)