USD/CHF: Swiss Franc Climbs Higher as Oil Sell-Off Extends
USD/CHF: Swiss Franc Climbs Higher as Oil Sell-Off Extends
The USD/CHF
pair met fresh offers in early Europe and dropped further below 0.97
handle, on the back of deteriorating risk conditions as the oil prices
extend the slump.
USD/CHF testing lows near 0.9650
Currently,
the USD/CHF pair trades -0.20% lower at 0.9658, hovering within a
striking distance of fresh session lows struck at 0.9652 some minutes
ago. The major is seen accelerating to the downside as the demand for
traditional safe-havens such as the CHF, picks up pace amid renewed bout
of selling witnessed in the oil markets. The extension of sell-off in
the oil prices post-European open triggered a renewed risk-aversion wave
into markets and thus, provided fresh impetus to the safety assets.
Moreover,
the US dollar also turned on the back foot against its major
competitors last minutes, adding to the downbeat sentiment surrounding
USD/CHF. Looking ahead, the major will keep an eye on the broader market
sentiment as the trading calendar remains data-quiet for today.
USD/CHF Technical Levels
To
the upside, the next resistance is located at 0.9700 (round number) and
above which it could extend gains to 0.9766 (50-DMA). To the downside,
immediate support might be located at 0.9619/06 (20 & 5-DMA) and
below that 0.9540 (Apr 13 Low).
