USD/CHF remains steady, above 0.8630 as SNB Jordan’s comments hit the Swissie
- The US Dollar remains steady near one-month highs with investors reassessing the chances of Fed cuts in March
- SNB Chairman, Thomas Jordan's hints at a monetary policy shift are weighing on the CHF.
- USD/CHF needs to breach the 0.8675 level to extend its recovery.
The US Dollar maintains its positive trend intact on Thursday. The pair’s downside attempts have been capped at 0.8630 and USD bulls remain focused on the 0.8675 resistance area.
Earlier today, SNB’s chairman, Thomas Jordan, complained about excessive Swiss Franc strength, suggesting that the bank could reconsider its monetary policy. These comments have sent the Swissie lower across the board.
In the US, the strong Retail Sales data released on Wednesday and the positive conclusions of the Fed’s Beige Book ad to evidence of the solid US economic momentum and increased doubts on a March rate cut.
The Focus now is on the US Weekly Jobless Claims and housing data. Apart from that, Atlanta Fed President Raphael Bostic will meet the press and give further clues about the bank’s monetary policy.
The pair is trending higher and has reached the 38.2% Fibonacci retracement of the late 2023 decline, at 0.8675 where it has met some resistance. Above here, the next targets are 0.8720 and the 50% Fib retracement, at 0.8780. Supports are 0.8615 and the previous resistance at 0.8575.
Technical Levels to Watch