Swiss Franc: Range trading with limited momentum against US Dollar – UOB

UOB’s Quek Ser Leang and Lee Sue Ann keep a range-trading view on USD/CHF around 0.8100, after the pair held between 0.8065 and 0.8109 and closed near 0.8099. They now expect a slightly narrower 0.8060–0.8135 band to contain moves in the coming weeks. On a 1–3 month horizon, they see scope for further rebound but doubt a retest of the July peak at 0.8206.

Swiss Franc pair seen confined in band

"24-HOUR VIEW: Following Tuesday’s price action, we highlighted yesterday that “there has been no shift in either downward or upward momentum, and the current price movements are likely part of a range-trading phase between 0.8075 and 0.8115.” USD then traded within a lower range of 0.8065/0.8109 before closing little changed at 0.8099 (+0.06%). We are unable to derive much from the price action. Today, USD could trade between 0.8075 and 0.8115."

"1-3 WEEKS VIEW: In our most recent narrative from Monday (07 Sep, spot at 0.8100), we highlighted that, for the time being, we expect USD to trade in a range between 0.8055 and 0.8155. We continue to expect range-trading, but a narrower range of 0.8060/0.8135 is likely enough to contain the price movements in USD for now."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)