Current dynamics

The USD/CHF pair is trading in a corrective trend at 0.8864, despite a significant strengthening of the US dollar, while the franc is supported by a stable economy.

Thus, according to forecasts from experts at the Federal Statistical Office, this year the gross added value of agriculture will amount to 4.6 billion francs, 3.4% more than in 2023, despite the fact that the total production volume in the industry has not yet recovered and may be adjusted by -0.4%. The most promising area is meat production, and the overall negative dynamics were observed due to the weak grain harvest.

The US dollar is trading at 107.00 in USDX today for the first time since November 2022. Investors are assessing the statistics on the labor market, where the number of initial applications for unemployment benefits fell from 219.0 thousand to 213.0 thousand, and the average number of applications over the past four weeks - from 221.50 thousand to 217.75 thousand. In addition, sales of housing on the existing market increased by 3.4% to 3.96 million, above both the previous 3.83 million and the forecasts of 3.95 million. Today at 16:45 (GMT 2) the November data on business activity in the US will be presented, which are calculated on the basis of a survey of purchasing and supply managers of leading national enterprises: according to forecasts, the index in the services sector from S&P Global will increase from 55.0 points to 55.3 points, and in the manufacturing sector - from 48.5 points to 48.8 points.

Support and resistance levels

On the daily chart, the trading instrument is correcting, holding above the resistance line of the descending channel 0.8670–0.8500.

Technical indicators strengthen the buy signal: fast EMAs on the Alligator indicator move away from the signal line, and the AO histogram forms downward bars in the positive zone.

Resistance levels: 0.8900, 0.9040.

Support levels: 0.8820, 0.8690.

Trading scenarios

Long positions can be opened after the price grows and consolidates above 0.8900 with a target of 0.9040. Stop loss is around 0.8840. Implementation period: 7 days or more.

Short positions can be opened after the price declines and consolidates below the level of 0.8820 with the target at 0.8690. Stop loss is 0.8890.