USD/CHF climbs above 0.9600 as the rally goes on despite US-China tensions
|- CHF among worst performers despite trade war fears.
- USD/CHF erased losses and heads for the highest close since mid-January.
The USD/CHF pair is about to post the highest daily close since January 22. The greenback erased losses during the US session and even reached levels on top of 0.9600 for the first time in 10 weeks.
Earlier today the pair was in negative territory at 0.9585 and dropped to 0.9550 after China announced tariffs for 106 US products for a value of $50bn in imports, in response to US measures. Markets were hit and equity prices dropped sharply. During the American session, Wall Street rebounded. Near the end of the session, the Dow Jones was up 0.65%, after rising more than 600 points from the low.
As equity prices started to recover USD/CHF bounced to the upside and erased losses. During the last hours, it moved at a slow pace, always to the upside. It rose above 0.9600 and peaked at 0.9608. As of writing, was trading around 0.9600/05, about to post the third-day in-a-row and the sixth out of the last seven trading days.
USD/CHF Levels to watch
If the pair consolidates above 0.9600, the potential target might be located at 0.9630/35, above resistance levels are seen at 0.9665 (Jan 16 & 17 high) and 0.9695 (Jan 2 low). It continues to move within a bullish channel. On the flip side, support is now seen at 0.9575, followed by 0.9520 (weekly low) and 0.9480.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.