USD/CHF gains 0.74% to 0.8250 as hawkish Fed sentiment and inflation data push the pair above its 50-day SMA, setting the stage for a potential test of the 0.8300 resistance level.
Hawkish Fed comments and a high US inflation report lifted the pair 0.74% on Tuesday, with growing expectations of a December Fed rate hike favouring the dollar. The pair cleared the 50-day SMA at 0.8227 and reached 0.8270, with the RSI above its 50 level supporting further gains toward 0.8300. A close above 0.8250 is needed to confirm the move.
Hawkish Fed comments and a high US inflation report lifted the dollar broadly, up 0.48%-0.90% against major currencies on Tuesday and 0.72% against the Swiss franc. Growing expectations of a December Fed rate hike support further dollar strength.
The USD/CHF pair climbed 0.74% on Tuesday, driven by hawkish Federal Reserve commentary and a strong US inflation report. The pair successfully cleared the 50-day SMA at 0.8227, with the RSI moving above the 50-neutral level to signal strengthening bullish momentum. Traders are now eyeing a daily close above 0.8250 to confirm a potential move toward the 0.8300 level.
Hawkish comments from Fed officials and a high US inflation report have increased expectations of a Fed rate hike in December, strengthening the dollar against the franc.
A daily close above 0.8250 would open the way to 0.8300 and then the year-to-date high of 0.8382 from October 1. Support sits at the 50-day SMA at 0.8227, then 0.8174, the 100-day SMA at 0.8164, and 0.8100.
A high US inflation report plus hawkish comments from Fed officials have raised expectations of a Fed rate hike in December, supporting the dollar against all major currencies on Tuesday.