The non-volatile bearish trend is still intact in USD/CHF. Recently, Credit Suisse Economic Expectation report showed a worse figure of 20.7 from the previous value of 30.8. Despite a sharp decline in the index, CHF has managed to gain over USD consistently. Recently, the US Final GDP has been revised upwards to 1.4% which was expected to be unchanged at 1.2% but Unemployment Claims increased to 244k which was expected to decrease to 241k from 242k previously. Today, US Core PCE Price Index report was published which showed the unchanged figure of 0.1%, Personal Spending decreased to 0.1% as expected from the 0.4% previous print. Besides, the personal income rose to 0.4% which was expected to be unchanged at 0.3%. Amid the mixed economic reports from the US, the greenback has somehow managed to gain some pips over CHF today bouncing off the support at 0.9550. Nevertheless, USD gains seem to be short-lived due to recent heavy bearish pressure from CHF.
Now let us look at the technical chart. The price has bounced from the support level of 0.9550 and currently showing some bullish evidence in the market. As the level 0.9550 is one of the most important ones to lift the price up in the earlier days, the price is expected to bounce back to 0.9700 resistance level before resuming its bearish trend much lower with a downward target towards 0.9260 support level. The bearish bias will continue further until price breaks above 0.9810 with a daily close.
The material has been provided by InstaForex Company – www.instaforex.com