10.11.201703:21 Forex Analysis & Reviews: Fundamental Analysis of USD/CHF for November 10, 2017

USD/CHF has been quite volatile and corrective for the recent few days after breaking above the 0.9860 price level. Both CHF and USD had been quite worse with the economic reports this week which lead to further corrective price action. Recently CHF has been quite mixed with the economic reports where the CPI report was published with a decreased value as expected at 0.1%, which previously was at 0.2% and Foreign Currency Reserves increased to 742B from the previous figure of 724B. On the other hand, USD was also quite mixed with the economic reports this week and recent increased Unemployment Claims figure of 239k from the previous figure of 229k made the currency lose more grounds against CHF recently. Today there is no CHF economic reports to be published, but USD Prelim UoM Consumer Sentiment report is going to be published which is expected to have slight increase to 110.8 from the previous figure of 110.7 and Prelim UoM Inflation Expectations report is also expected to be hawkish which previously was at 2.4%. As of the current scenario, the market is expected to be quite corrective and bearish in nature in the coming days before USD comes up with high impact positive news to increase the gains against CHF in the coming days.

Now let us look at the technical view, price is currently residing at the dynamic support of 20 EMA which is expected to push the price higher, but the recent impulsive bearish engulfing daily candle does indicate that the price is going to head much lower towards the support area of 0.9760 to 0.9860 before price launches up higher. As the price remains above the support area the bullish bias is expected to continue with the target towards 1.01 resistance area.