Will the Swiss franc, which has been on the rise, maintain its momentum, or should we wait and see?

Will the Swiss franc, which has been on the rise, maintain its momentum, or should we wait and see?

09.01.2024

In yesterday's U.S. currency markets, the U.S. dollar was the weakest currency during U.S. trading hours. The EUR/USD pair rose from 1.0922 to 1.0978, recovering to the line marking the recent high on the 4-hour chart. From a technical perspective, the upward trend continues on the daily chart, centered around the 20-day moving average. Therefore, it will be worth watching whether the euro will rise against the U.S. dollar following a period of consolidation.

European currencies saw the Swiss franc strengthen against the U.S. dollar after Switzerland’s December Consumer Price Index (CPI), released yesterday, rose to 1.7% year-over-year from 1.4%.The USD/CHF pair fell from 0.8521 to 0.8459, breaking below the 200-period simple moving average (SMA) on the hourly chart. With the franc remaining strong and the dollar weakening during today’s Asian session, traders should remain cautious regarding price movements during the European session.

Today's economic indicators include Swiss employment figures at 3:45 p.m., German industrial production at 4:00 p.m., and Frenchtrade balance and current account balance at 16:45, Taiwan’s trade balance at 17:00, the Eurozone’s employment statistics at 19:00, Mexico’s Consumer Price Index at 21:00, the U.S. trade balance at 22:30, Canada’s international merchandise trade at 22:30, Canada’s housing permits at 22:30, and remarks by Fed Vice Chair Bar at 02:00.I want to wait and see whether the Swiss franc, which has been rising, will maintain its momentum.