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FxWirePro- USDCHF Daily Outlook

USDCHF is trading higher for a third consecutive week on board-based US dollar buying. It hits a fresh 20-year high after a hawkish hike by Fed. 2- Year yield surged to 4.31%, the highest level in 15 years. Markets eye US Durable goods order and Fed Powell speech for further direction.

 

 According to the CME Fed watch tool, the probability of a 75 bpbs rate hike in Nov rose to 67.3% from 60% a week ago.

 Technically in the daily chart, the pair is holding above short term (21- and 55 EMA) and  200 EMA (0.95320). Any break below 0.9850 will take the pair to 0.9800/0.9740. USDCHF hits an intraday low of 0.98976 and is currently trading around 0.9900.

 The near-term resistance is around 0.99650 and any breach above targets 1.000/1.0065.

 

Indicators (Daily chart)

 

CCI (50)- Bullish

 

ADX- Bullish

 

It is good to buy on dips around 0.9850 with SL around 0.9800 for TP of 1.000.

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