Should we be wary of resistance at higher levels for the Swiss franc?

Should we be wary of resistance at higher levels for the Swiss franc?

19.09.2023

In yesterday’s U.S. currency trading, the U.S. dollar fell against the euro ahead of tomorrow’s FOMC meeting. The EUR/USD pair rose from 1.0654 to 1.0697, breaking above the 20-period moving average on the 4-hour chart with a bullish candle.On the weekly chart, the pair has rebounded from the 1.0625 support level, suggesting a potential upward trend for the time being. However, caution is warranted, as a break below the 1.0625 support level during tomorrow’s FOMC meeting could signal a shift in the trend.

Among European currencies, the Swiss franc fell against the yen ahead of today’s trade balance release. The CHF/JPY pair dropped from 164.911 to 164.311. It has been trading below the 20-day moving average for the past week or so.On the weekly chart, the pair continues to move along the +2σ line of the Bollinger Bands, and divergence is observed as the RSI has exceeded 70, indicating overbought conditions. With the BOJ meeting this weekend, we should remain vigilant to see if the franc continues to weaken against the yen.

Today, at 3:00 PM, Switzerland’s trade balance; at 5:00 PM, the Eurozone’s current account balance; at 5:30 PM, Hong Kong’s unemployment rate; at 6:00 PM, the Eurozone’s consumer price index; at 7:00 PM, Israel’s GDP;at 9:30 PM: Canada’s Consumer Price Index, U.S. Housing Starts, and U.S. Building Permits; at 2:00 AM: U.S. 20-Year Treasury Auction; at 2:45 AM: Remarks by BOC Deputy Governor Kozicki; and at 7:45 AM the following day: New Zealand’s Q2 Current Account Balance. We should remain highly vigilant regarding the resistance facing the Swiss franc.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran