The U.S. dollar is opening the Wednesday trade session on a weak note against the safe haven Swiss franc. The headline USD/CHF Forex market is above the short-term 21 day simple moving average as well a rising trend line. Price action is near 0.93.
The economic calendar for Wednesday has some volatile events. U.S. dollar traders will be looking at the U.S. economic calendar as the United States will release their monthly core and headline consumer price index (CPI). In the euro area, Germany will also publish their consumer price index. The European Union will publish release industrial production data.
The United Kingdom is also releasing key economic data today. The UK will release their monthly and quarterly gross domestic product (GDP). The United Kingdom is also publishing monthly industrial production and monthly manufacturing data.
Daily U.S. Dollar Technical Analysis (USD/CHF)
Looking at the above daily MT 4 price chart, the 14 day MACD histogram is signaling overbought as momentum, to the upside is slowing. This could lead to a correction lower for the U.S. dollar thus bringing the USD/CHF currency exchange rate lower.
With that said this Forex market challenged a five month high at 0.9368 before inching lower towards 0.9230. The USD/CHF found support around the 21 day simple moving average near 0.9245 and inched higher.
While above the 21 day simple moving average, the next upside barrier lines up at 0.9320. A daily close above 0.9320 opens the door to challenge the horizontal resistance at 0.9340 with the 30 September high price point of 0.9370 coming into focus next.
If the MACD histogram moves lower, there is a key horizontal support level lining up at 0.9280. The next downside barrier is the rising trend line with yesterday’s low price point at 0.9258 then coming into play. The next layer of technical support lines up at 0.9230.