Bull’s eye parity as the 0.9870 area around Steady

• The USD / CHF would finish the week with a hefty loss of around 1.48%.
• US equities recording losses reflect a downbeat market mood, boosting the greenback.
• USD / CHF Price Forecast: The bias shifted from upwards to neutral-upwards, consolidating in the 0.9820-80 range.

The Swiss franc remains defensive during the day, recovering from a loss in the week, which amounted to 1.45% so far, with Wall Street’s close for some time ahead. At the time of writing, the USD / CHF is trading at 0.9877 amidst a risk-off market mood.

On Friday, a lower note on the week to prepare US equities. In the mean time, US Treasury yields kept pushing higher, led by the 10-year benchmark note of around 3.12%, one bps short of YTD highs.

The US Dollar Index, a measure of the greenback’s value against a six-currencies basket, is a pairing early day losses, up 0.04%, currently at 103.589.

During Friday’s trading session, the USD / CHF opened at 0.9850 in the Asian Pacific Session and fluctuated in a 30-pip range of 0.9850-80 amid the lack of catalysts as FX traders head into the weekend.

USD / CHF Price Forecast: Technical Outlook

The USD / CHF looks poised to extend its gains next week, with the major retreated from YTD highs around 0.9890. The Relative Strength Index (RSI) at 80.33 shows the pair well within the overbought area but is still aiming higher, meaning that a leg-up might be on the cards.

In the meantime, the 1-hour chart shows that the USD / CHF re

If the USD / CHF breaks the top of the range, the first resistance would be the 0.9900 mark. Once cleared, the R1 daily pivot would be around the next supply zone of 0.9920, followed by the USD / CHF parity at the R2 pivot point.

On the other hand, the USD / CHF would support the first 50-SMA and the daily pivot at around 0.9818-20. The latter would expose the 100-SMA at 0.9802, followed by the S1 daily pivot and the 200-SMA near the 0.9740-47 range.

Key Technical Levels