USD/CHF Forecast: Continues to Drift Lower

There won’t be much movement in the market during the coming sessions as volumes are severely lacking and of course everyone is waiting for work from America. USD/CHF is back in the red during Thursday’s trade as we look set to test some serious support below. There won’t be much movement in the market over the next two sessions because there is a serious lack of volume and of course everyone is waiting for work from America. In addition, there are many questions about whether the Fed will remain tight and whether the Swiss have finally begun to change their overall rate-setting process. Advertisement Test your technical skills now! OPEN FREE DEMO ACCOUNT Now that the Swiss franc is paying little interest, many believe that the Swiss National Bank will continue to tighten monetary policy. I really don’t think so, because frankly they have been so amazingly loose with their monetary policy for so many years that it would be a complete reversal now. In addition, they have many assets in the stock market, which is in dire need of liquidity. In addition, the SNB has recently been working with the Federal Reserve on swap lines, which is probably not a good sign for the central bank. The next few sessions are likely to be noisy If we break below the 0.92 level, the pair might fall to the 0.90 level after that. The size of the candlestick is obviously negative, but if we can reverse and take it out, it can also be a very positive sign. We reported a pair of hammers on the weekly chart, but now it looks like we are retesting their bottom. $ , will have to turn it around soon enough or the Swiss franc could become the favorite. As this pair continues to decline, you can gain more leverage by shorting other pairs with the CHF quote currency. On the other hand, a rally could be a good sign for the US dollar overall. I expect the next several sessions will probably be a lot of noise that doesn’t really get us anywhere until we get some workload or at least some major news.

Dodaj komentarz

Twój adres e-mail nie zostanie opublikowany.