Should we be wary of further downside potential in the falling Swiss franc?

Should we be wary of further downside potential in the falling Swiss franc?

21.03.2025

In yesterday’s U.S. currency markets, the Canadian dollar fell against the yen after Canada’s February industrial production, released yesterday, declined to 0.4% from 1.6% the previous month. The CAD/JPY pair fell from 103.949 to 103.152.The price fell to the 200-period SMA on the hourly chart. On the 4-hour chart, a pullback from the 200-period EMA has occurred, and on the daily chart, the RSI is trending downward just below the 50 level.

Among European currencies, the Swiss franc fell against the U.S. dollar. The USD/CHF pair rose from 0.8756 to 0.8841, surging to the +2σ level of the hourly Bollinger Bands. On the 4-hour chart, the price has recovered to the 75-period moving average (MA), while on the daily chart, the 200-period simple moving average (SMA) is acting as a support level. We will need to monitor price movements during U.S. trading hours to see if the Swiss franc continues to weaken.

Today’s economic indicators include New Zealand’s trade balance at 6:45, Japan’s national consumer price index at 8:30, Japan’s foreign and domestic securities investment at 8:50, the UK’s GfK consumer confidence index at 9:01, the Eurozone’s current account balance at 18:00,8:00 PM UK CBI Business Survey, 9:30 PM Canada Retail Sales, 10:05 PM US Remarks by Williams, President of the New York Fed, and 12:00 AM Eurozone Consumer Confidence Index. Keep an eye on the downside potential of the falling Swiss franc.

Past Market Reports

1. 17.04.2026New

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

2. 16.04.2026New

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

3. 15.04.2026New

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

4. 14.04.2026New

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

5. 13.04.2026New

   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

6. 10.04.2026

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

7. 09.04.2026

   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?

8. 08.04.2026

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

9. 07.04.2026

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

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed