- US Dollar declined against a few major currencies, but managed to climb higher against the Swiss Franc.
- There was a bearish trend line formed on the hourly chart of the USDCHF pair, which was broken recently.
- Swiss Trade Balance released by the Federal Customs Administration posted a trade surplus of 2,163M, less than the forecast of 3,890M in March 2016.
- Swiss Imports of goods and services came in at 15,646M in March 2016. <br><br>
The Swiss Franc declined heavily against the US Dollar, and it was less due to strength of the greenback, but more due to weakness of Swiss Franc. There was a bearish trend line formed on the hourly chart of the USDCHF pair, which was broken the USD bulls recently.
The pair after trading as high as 0.9739 started to correct, and currently testing the 23.6% Fib retracement level of the last leg from the 0.9588 low to 0.9736 high.
On the upside, the 0.9735-40 is a resistance area. A break above it could take the pair towards 0.9760.
Swiss Trade Balance
Today, the Swiss Trade Balance, which is a measure of balance amount between import and export was released by the Federal Customs Administration. The forecast was lined up for a trade surplus of 3,890M in in March 2016, but the result was disappointing, as the surplus was 2,163M.
Moreover, the Swiss Imports of goods and services came in at 15,646M, and exports came in at 17,809M in March 2016. Overall, the result was disappointing, which increase the risk of more declines in the Swiss franc in the near term.
One may consider buying USDCHF on the dips as long as the pair is above the 0.9680 support area.