25 Sep 2013
USD/CHF dropping like a stone; 0.9100 taken out
FXstreet.com (London) - USD/CHF has fallen through the 0.9100 handle to mark a low of 0.9078. The pair has lost 60 pips on two bouts of heavy supply.
The debt ceiling deadline is a black cloud over the dollar as it closes in and that will keep a cap on the dollar for now. US Treasuries are also bid, so this too would have been keeping the USD/CHF from making significant headway through 0.9170/80 hurdles. The pair finally was giving in at 0.9110. USD/CHF will now test the 0.9080/90 support. From the calendar, we have seen US New Home Sales (MoM) (Aug) printed 0.421M vs 0.420M consensus. While the change came in at 7.9% MoM. We will await for tomorrows data as well, with GDP, jobs numbers and yet more speeches from FOMC members.
USD/CHF Levels
The 20 DMA is 0.9265, the 50 DMA is 0.9274 and the 200 DMA is 0.9344. RSI (14) reads 36.81. Supports are ascending from 0.9023, 0.9056 and 0.9080 acts as a key level and failure there could signify a potential close and an area for fresh real money supply. Spot is currently 0.9086. Resistances are 0.9137, 0.9150, 0.9185, 0.9227 and 0.9248.
The debt ceiling deadline is a black cloud over the dollar as it closes in and that will keep a cap on the dollar for now. US Treasuries are also bid, so this too would have been keeping the USD/CHF from making significant headway through 0.9170/80 hurdles. The pair finally was giving in at 0.9110. USD/CHF will now test the 0.9080/90 support. From the calendar, we have seen US New Home Sales (MoM) (Aug) printed 0.421M vs 0.420M consensus. While the change came in at 7.9% MoM. We will await for tomorrows data as well, with GDP, jobs numbers and yet more speeches from FOMC members.
USD/CHF Levels
The 20 DMA is 0.9265, the 50 DMA is 0.9274 and the 200 DMA is 0.9344. RSI (14) reads 36.81. Supports are ascending from 0.9023, 0.9056 and 0.9080 acts as a key level and failure there could signify a potential close and an area for fresh real money supply. Spot is currently 0.9086. Resistances are 0.9137, 0.9150, 0.9185, 0.9227 and 0.9248.