US Dollar Forecast: USD/CHF Rebound Pulls RSI Out of Oversold Zone
USD/CHF continues to recover from a fresh yearly low (0.8040) to pull the Relative Strength Index (RSI) out of oversold territory.
Share this:
US Dollar Outlook: USD/CHF
USD/CHF continues to recover from a fresh yearly low (0.8040) to pull the Relative Strength Index (RSI) out of oversold territory, but the rebound in the exchange rate may turn out to be temporary as it no longer trades within the 2023 range.
US Dollar Forecast: USD/CHF Rebound Pulls RSI Out of Oversold Zone
USD/CHF trades to a fresh weekly high (0.8287) as it carves a series of higher highs and lows, and the move above 30 in the RSI is likely to be accompanied by a further rise in the exchange rate like the price action from last year.
Join David Song for the Weekly Fundamental Market Outlook webinar.
David provides a market overview and takes questions in real-time. Register Here
With that said, USD/CHF may further retrace the decline from the start of the month as the US Dollar rebounds against most of its major counterparts, but the exchange rate may continue to track the descending channel from earlier this year should the former-support zone around the 2023 low (0.8333) offer resistance.
USD/CHF Price Chart – Daily
Chart Prepared by David Song, Senior Strategist; USD/CHF Price on TradingView
- USD/CHF approaches the former-support zone around the 2023 low (0.8333) as it carves a series of higher highs and lows, with a break/close above 0.8360 (100% Fibonacci extension) bringing the 0.8550 (78.6% Fibonacci extension) to 0.8590 (78.6% Fibonacci extension) zone on the radar.
- Next area of interest comes in around 0.8700 (61.8% Fibonacci extension), but USD/CHF may continue to track the descending channel from earlier this year should it struggle to trade back above the former-support zone around the 2023 low (0.8333).
- In turn, USD/CHF may give back the advance from the weekly low (0.8040) should it snaps the bullish price series, with a close below 0.8080 (23.6% Fibonacci retracement) opening up 0.7810 (161.8% Fibonacci extension).
Additional Market Outlooks
Canadian Dollar Forecast: USD/CAD Cracks November Low Ahead of Election
GBP/USD Falls Ahead of 2024 High to Threaten Ten-Day Rally
AUD/USD Extends V-Shape Recovery to Push Above February High
USD/JPY Falls Toward 2024 Low to Push RSI into Oversold Zone
--- Written by David Song, Senior Strategist
Follow on Twitter at @DavidJSong
Related tags:
Open an account in minutes
Experience award-winning platforms with fast and secure execution, and enjoy tight spreads from 0.5 pts on FX and 0.3 pts on indices.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
USD/CAD shooting star puts September surge on notice
USD/CAD has printed a clear bearish reversal pattern after an extraordinary September surge, but confirmation may depend heavily on how US Treasury yields react to Friday’s payrolls report.
USD/CHF Reverses as Swiss Franc Surges amid Bond Carnage
USD/CHF reverses from channel resistance as bond volatility surges and broad Swiss franc strength points to a possible carry-trade unwind.
US Dollar Technical Outlook: DXY Bulls Meet Resistance at Yearly Highs 10 1 2026
The U.S. Dollar has held firm despite fading Fed hike bets, but Friday’s payrolls could test the rally’s staying power.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.forex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.