Current trend

The USD/CHF pair is trading in a correction trend at 0.8655, preparing to continue growing amid a strengthening American dollar and a lack of Swiss macroeconomic statistics.

Thus, the total volume of registered cars in 2024 increased from 6.445M to 6.503M, while an increase is observed in the category of relatively innovative engines. The number of electric cars increased from 155.5K to 202.5K relative to a decrease in gasoline cars from 2.952M to 2.899M. Such a market shift may lead to greater electricity consumption in the future and lower costs for petroleum products.

The American currency is trading at 103.40 in the USDX, the highest since early August, after the release of data from the labor market. Initial jobless claims fell from 260.0K to 241.0K but the total claims increased from 1.858M to 1.867M. In addition, in September, the core retail sales index accelerated from 0.2% to 0.5%, and their volume – from 0.1% to 0.4%.

Support and resistance

On the daily chart, the trading instrument is correcting above the resistance line of the downward channel 0.8550–0.8400.

Technical indicators strengthen the buy signal: fast EMAs on the Alligator indicator crossed the signal line upwards, and the AO histogram forms ascending bars in the buy zone.

Resistance levels: 0.8690, 0.8840.

Support levels: 0.8610, 0.8430.

Trading tips

Long positions may be opened after the price rises and consolidates above 0.8690, with the target at 0.8840. Stop loss is around 0.8620. Implementation period: 7 days or more.

Short positions may be opened after the price falls and consolidates below 0.8610, with the target at 0.8430. Stop loss is 0.8680.