the US dollar versus Swiss franc It rose in yesterday’s trading, breaking the sloping major trend line near the downtrend line 0.7893 And then push through The 200-day moving average is at 0.79066. This move marked the pair’s first break above the 200-day moving average since April 8 and gave buyers the green light to extend the rally. Momentum carried the pair above The highest price on April 29 is 0.79238But the breakout lacked follow-through, and sellers quickly regained control.
During today’s trading, sellers initially tried to push the pair below the 10 level 200 day moving averageBut buyers intervened nearby The 50% midpoint of the rally from the early April low at 0.79014Which helped spark another rally. However, this rebound has also run out of steam. Over the past few hours, selling pressure has intensified, pushing the price below the level 200 day moving average (0.79066)the 50% midpoint (0.79014)The previously broken trend line is nearby 0.7892.
Renewed bearish momentum pushed the pair towards the critical support area defined by the rally The 100 hour moving average is at 0.7866 and The 200 hour moving average is at 0.7858. The session reached its lowest point 0.7869 Until now, as buyers are trying to defend the area. For sellers to gain tighter control, they will need to break and stay below both moving averages. It is worth noting that on Tuesday, the price briefly moved below these levels but quickly rebounded, restoring support and paving the way for yesterday’s rally.
Buyers had their chance above the 200-day moving average and failed to maintain the momentum. Now it’s the sellers’ turn. The key question is whether they can extend the move below the 100 and 200 hourly moving averages, or whether dip buyers will once again defend support and push the pair back towards the previous trend line resistance near… 0.7892.
Essentially, the downward move of the US dollar against the Swiss franc was driven by a combination of… Demand for the Swiss franc as a safe haven and The US dollar weakened broadly. Interestingly, the Swiss CPI report came in weaker than expected today, but instead of impacting the franc, the currency remained steady. One explanation is that weaker inflation reduces the urgency of the Swiss National Bank to make aggressive additional interest rate cuts. With the market already anticipating dovish SNB policy, weaker inflation data did little to undermine the franc and may have strengthened its relative appeal as a safe-haven currency amid ongoing uncertainty.
