USD/CHF breaches the 20-day SMA

USD/CHF breaches the 20-day SMA

'We’re going to get a pretty clear reiteration from the Fed that quantitative easing will continue for quite some time. The strong dollar story is a tough case to make right now.' - Westpac Banking Corp. (based on Bloomberg)

Pair's Outlook

USD/CHF pair experiences bearish sentiments during the last few weeks and has already reached the 20-day SMA. Settlement beneath it would open a free area till a 0.9236 level, where the 55-day SMA is located. Since the pair is mostly depreciating, but it still remaining above the 20-day and 55-day SMAs, being a bullish signal, the current situation is rather vague and position opening would be associated with heightened uncertainty.

Traders' Sentiment

The majority of USD/CHF pair traders are bulls, since 86% of opened position are long and only 14% are short. Waiting orders market situation is bullish, as 59% of orders are for a long position and 41% for a short position.