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Yesterday the USD/CHF lifted back steadily, from a low seen on Friday evening, at 0.8914. The USD/CHF came close to the 0.90 handle once more, but could not quite retrieve that level ahead of the US close, where it ended the day at 0.8986. Well, today it has managed to vault that 0.90 handle and reach a high so far at 0.9004. The most recent high seen in the dollar was set at 0.9022 on December 18, after the SNB surprised the markets with a 0.50% rate cut. Comments here subsequent to that SNB surprise suggest there is more upside for the USD/CHF in the days and weeks ahead and nothing has yet given rise to change that view. In fact this morning, with US yields pressing higher, the long USD/CHF carry trade is very much back in focus. It is also important to note comments from the SNB last week, suggesting they would like the currency to weaken further and not just in terms of the EUR/CHF. The 0.9022 USD/CHF high last week ran into an important resistance level, at 0.9024. That level was noted here before the dollar topped out, but it looks to be back in play again this week. If it breaks we could be looking at more upside to come. The USD/CHF is currently trading at 0.9003
Well, you were alerted to something rather strange going on this afternoon in Gold and since then the metal has taken another lurch lower. This time...
The US stock markets have not long reopened for the final trading session of the week. It has been a very modestly higher opening across the board...
Given the reaction in the GBP/USD and the USD/JPY after the US sales data you might easily be forgiven for thinking the EUR/USD should be above 1.05...
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