USDCHF Might Break Below 0.9735 If Swiss Foreign Currency Reserves Improves

BTCUSD Forecast for Bitcoin price

BTCUSD forecas - Bitcoin price - 1st January 2018More than $1.85 billion worth of BTC traded in the market last Friday after the BTCUSD dropped from the all-time high of 19,700 on December 17. Over the last two weeks, the BTCUSD also formed a well-respected downtrend line on the 4-hourly chart, where the 14,320 level acted as a major resistance. Currently, bitcoin price is trading just above the big round number (BRN) 13,000.

BTCUSD trading volume remained relatively low over the last few weeks due to the holidays. However, overall trend remained mostly bullish on the daily timeframe and volume will likely go up this week after the bank holidays are over. If the bitcoin price breaks above both the trend line and the resistance near 14,320, it may find additional bullish momentum in the market.

Hence, US bitcoin traders should look out for trading opportunities above this major resistance level around 14,320.

USDCHF- Technical Analysis for binary Options brokers

Switzerland – Foreign Currency Reserves

On Friday, at GMT 8:00 a.m., the Swiss National Bank will release its foreign currency reserves figure. It measures the total value of foreign currency reserve held by the central bank.

The currency reserve usually goes down when the Swiss National Bank tries to defend the rate of the Swiss France in the open market. It happens when the demand for the CHF is low. Hence, this figure can indicate how actively the central bank is participating in the market. Therefore, binary options investors consider this an important fundamental indicator of the CHF’s future directional movement against other major currencies.

Last month, the Swiss foreign exchange reserves figured came out at 738 billion. In the previous month, it came out at 742 billion. The situation signaled that the SNB is trying to increasing their reserve.

United States – ISM Non-Manufacturing PMI

Later, at GMT 3:00 p.m., the US based Institute for Supply Management (ISM) released its monthly Non-Manufacturing PMI figure. It measures the level of a diffusion index created by surveying purchasing managers. However, the ISM’s PMI figure excludes the non-manufacturing sector.

Binary options traders consider the ISM Non-Manufacturing PMI figure to be a leading economic indicator. Partly because purchasing managers have the most updated view of the economy.

Last month, the ISM’s PMI figure came out at 57.4. However, the forecast for this month is set at a slightly higher figure, at 57.8.

USDCHF Forecast

The USD/CHF broke below the previous uptrend line on November 14, 2017. Since then, it mostly remained range bound and traded sideways between the 0.9735 and 1.0000 levels. Earlier today, the pair tested the support around 0.9735 once again.

As we discussed earlier, the US ISM non-manufacturing PMI reading estimate is slightly higher than last month. At the same time, the Swiss foreign currency reserve last month might have gone up from 738 billion to 742 billion. Therefore, we believe it would set a bearish fundamental outlook for the USD/CHF this week. If the USD/CHF closes below the support near0.9735, it would likely attract additional bearish momentum in the market.

Hence, US binary options traders should look out for trading opportunities above this major support level around 0.9735.

Top 3 US Platforms to trade Bitcoin

US Regulated Platform: NADEX

Top Bitcoin Broker: RaceOption

Good Broker: BinaryCent

BitBot Pro

Tagged with:

Leave a Comment

All content, design, and layout are Copyright © 2013 - 2016. All Rights Reserved. USBinaryOptions.com is owned and operated by AD Entertainment, a company registered in England / Wales ( United Kingdom ).
About Us - Sitemap - Contact Us - Disclaimer- Terms & Conditions