The Swiss Franc Is Active As Markets Open

• 2 Jan 2018

USD/CHF

The USD/CHF pair appears to have reached a bottom after a large sell-off over the last three trading sessions. A bullish candle after a break of the 0.973 price level could indicate a pause in the downtrend. This is also backed by momentum indicators which appear to have flattened at support levels. Despite the bearish move, momentum remains neutral. Today’s trading session will provide more clues about near-term price action as the markets return from the New Year break.

CHF/JPY

Swiss Franc strength continued against the Japanese Yen as the pair broke the 115.48 price level. However, the question is whether the momentum can be sustained. The pair has broken the upper Bollinger band and has hit the 70 overbought level on RSI. Additionally, declining volume may suggest less conviction from buyers to drive prices higher.

NZD/CHF

The New Zealand dollar has begun to push back against the Swiss Franc in today’s session. Heavy buying pressure has resulted in the pair breaking the 20- period EMA and approaching the 0.695 price level.  Momentum indicators support the bullish trajectory which may indicate further upside for the pair.

CAD/CHF

The CAD/CHF has bounced back from the 0.773 support level and remains above the 20-period EMA. Momentum indicators suggest bulls are dominating the pair with a potential break of MACD on the cards. A break of the zero line would provide further support to the uptrend.