Chart of The Day USDCHF

USDCHF Probable Price Path & Potential Reversal Zone

USD: Global stock markets rebounded, with U.S. stocks rising 2.4%, the largest increase in the past nine months. Commodity currencies generally made good, while the US dollar index remained stable, closing up 0.2% to 91. The longer-term U.S. Treasury bills went down, while the two- to seven-year Treasury bills rebounded. The 10-year yield closed up by more than 1 basis point at 1.417%. Richmond Federal Reserve Bank President Thomas Barkin said that companies should not reduce investment at the current level of interest rates. He believes that the bureau can effectively control the yield curve in the short term, but the long-term trend depends on economic conditions and the development of the pandemic. Short-term market volatility not a sign of long-term inflation. The US Institute of Supply Management Manufacturing Index rose to 60.8 in February, the highest in three years, better than market expectations of 58.9, and the price paid index rose to 86, the highest in July 2008. Senate leader Schumer said that the Senate will begin reviewing a $1.9 trillion bailout package this week. Dai Qi, who was nominated by President Biden to be the U.S. Trade Representative, said that he will ensure that Trump’s tariffs on China can appropriately respond to the impact of Chinese policies and actions on American companies, workers and consumers.

CHF: The Swiss Manufacturing Purchasing Managers' Index rose to 61.3 in February, a new high since August 18, which was significantly higher than expected 60.1 and January's 59.4. Real retail sales in January fell 0.5% year-on-year, marking the first setback since April last year. , Reflecting the impact of the tightening of epidemic prevention measures in Switzerland in January. The Swiss National Bank recorded a net profit of 20.9 billion Swiss francs last year, mainly benefited from profits from gold and foreign exchange investments. The Swiss franc has fallen significantly against the euro recently, which may ease the pressure on the central bank to intervene in the Swiss franc exchange rate

From a technical and trading perspective, the USDCHF appears to be in the latter stages of completing a corrective swing from the January lows, as the advance fades from current levels to .9220, which represents the yearly pivot, daily and weekly projected range resistance, bearish exposure should be rewarded for a minimum three wave correction to retest .9050 weekly projected range support and symmetry swing support equal to the pullback seen in early February. Failure for fresh demond to develop here would open a deeper pullback to test .8950 ascending trendline support. On the day a close through .9230 would suggest an upside extension to test pivotal resistance at .9300 which represents the monthly projected range resistance and the weekly R3

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