USD/CHF drops to test 0.9700

By FXStreet FXStreet (Córdoba) – After moving in ranges for hours between 0.9790 and 0.9745, USD/CHF broke to the downside and printed a fresh 2-day low at 0.9703. So far greenback has been able to hold above 0.9700 but the area still remains under pressure. The US dollar dropped across the board particularly versus European currencies, hitting new lows for the session.

USD/CHF outlook and levels to watch

At the moment it trades at 0.9715/20, 35 pips below the level it closed yesterday. The pair traded all day below 0.9800 and is has moved toward 0.9700. As long as it holds above 0.9670 the pair could continue to trade in consolidation mode; a break lower could open the doors for further losses, weakening the outlook for the US dollar.

To the upside, the key area continues to be 0.9800 handle. During September the pair traded above the mentioned level several times but it always failed to hold. If greenback manages to break and hold on top of 0.9800 it could gain support for further gains.
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Source:: FX Street