USD/CHF under pressure with drop in EU stock futures

By FXStreet FXStreet (Mumbai) – The USD/CHF pair ran into offers at the high of 0.9786 as the pan-European Euro Stoxx 50 futures fell back into losses.

CHF supported by weakness in stocks

The overnight weakness on the Wall Street, followed by a weak tone in the Asian equities and now the 1% drop in the Euro Stoxx 50 futures is supporting safe haven assets like the Swiss Franc. The pair recovered from the low of 0.9735 seen earlier today to trade above its 5-DMA currently located at 0.9747.

Ahead in the day, the CHF traders would track the movement in the European stocks. The US weekly jobless claims due later today could also influence the pair.

USD/CHF Technical Levels

The spot currently trades around 0.9764. The immediate resistance is located at 0.9824 (previous session’s high), above which the pair could target 0.9903 (Aug 11 high). On the other side, support is seen at 0.9735 (daily low) and 0.9707 levels.
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Source:: FX Street