Fundamental
Overview
The US Dollar has been
gaining ground across the board this week despite the lack of economic data and
lower Treasury yields, essentially moving forward by inertia.
Stanley Druckenmiller said
in an interview yesterday that the market is already positioning for a Trump
victory given the moves in some stocks like DJT for example.
That could explain the
recent USD strength as it should appreciate on higher growth and less rate cuts
expectations. Nevertheless, not all markets have been in sync with this view,
so it could be just noise.
For now, we can only work
with data and today we get the US retail sales and jobless claims figures which
will likely be market moving. The key events though will be in November when we
get the October data and the US election.
USDCHF
Technical Analysis – Daily Timeframe
USDCHF Daily
On the daily chart, we can
see that USDCHF continues to march higher with the buyers targeting the key resistance around the 0.8730 level where we
can also find the trendline
for confluence.
That’s where we can expect the sellers to step in with a defined risk above the
trendline to position for a drop into the 0.8333 level. The buyers, on the
other hand, will look for a break higher to increase the bullish bets into the
0.89 handle next.
USDCHF Technical
Analysis – 4 hour Timeframe
USDCHF 4 hour
On the 4 hour chart, we can
see that we have an upward trendline defining the current bullish momentum. The
buyers will likely keep on leaning on it to position for further upside. The
sellers, on the other hand, will want to see the price breaking lower to pile
in for a drop into the 0.8550 level.
USDCHF Technical
Analysis – 1 hour Timeframe
USDCHF 1 hour
On the 1 hour chart, we can
that we have a minor support around the 0.8640 level. This is where we can
expect the buyers to step in with a defined risk below the level to position
for new highs, while the sellers will look for a break lower to target a drop into
the trendline. The red lines define the average daily range for today.
Upcoming
Catalysts
Today we have the US Retail Sales and US Jobless Claims data.
