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On July 4, the South Korean Joint Chiefs of Staff reported that the South Korean military controlled a North Korean person who crossed the military demarcation line on the evening of the 3rd. The South Korean Joint Chiefs of Staff stated that after the South Korean military found the relevant personnel in the area of the military demarcation line in the central and western parts of the country on the evening of the 3rd, they tracked and monitored them, carried out induced operations, and then controlled the relevant personnel. At present, the relevant departments are investigating them. The Joint Chiefs of Staff also stated that as of now, the North Korean army has no special movements.According to a Reuters poll: 31 of 37 economists believe the Reserve Bank of Australia will cut the cash rate to 3.60% on July 8, while six believe the rate will remain unchanged. The median forecast of economists shows that the Reserve Bank of Australia will cut the cash rate to 3.10% by the end of 2025 (down from 3.35% in the May survey).Japanese government officials: Japans household spending growth in May was the fastest year-on-year since August 2022, and the month-on-month growth rate was the highest since March 2021.Trump praised U.S. Treasury Secretary Besant, U.S. Senate Republican leader Thune and U.S. House Speaker Johnson for the passage of the "Big, Beautiful Act."Japans total household spending in May was 4.7% year-on-year, in line with expectations of 1.20% and the previous value of -0.10%.

Volatilities in the weekly bullish channel are around 0.9700 for the USD/CHF exchange rate

Alina Haynes

Jul 07, 2022 14:50

截屏2022-07-07 上午10.10.40.png 

 

As a result, the CHF/USD pair rises to a three-week high while also reversing a four-day surge in overbought RSI conditions.

 

The USD/CHF exchange rate may drop farther given the most recent fall from the channel's barrier and the oversold RSI. However, sellers may face a significant challenge because of the 200-SMA support around 0.9670.

 

Even if the pair drops below 0.9670, it has to break through the 0.9630 support to defy the bullish channel and persuade bears that they are right.

 

After that, a drop to the monthly low of 0.9495 is not completely improbable.

 

Alternately, the top line of the aforementioned channel, near 0.9740, may challenge the USD/CHF's gains before it reaches the 0.9780 level, which marks the 50% Fibonacci retracement of its slide from mid-May.

 

The 0.9820 level may serve as a stopgap on the road up to the 61.8 percent Fibonacci retracement level of 0.9846 and the mid-June swing bottom around 0.9875 if the pair recovers over 0.9780.