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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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USDCHF Breakout

Article By: ,  Financial Analyst
September 24, 2020 4:53 PM
The US Dollar was bullish against most of its major pairs on Thursday with the exception of the CAD and GBP. On the US economic data front, Initial Jobless Claims unexpectedly rose to 870K for the week ending September 19th (840K expected), from a revised 866K in the previous week. Continuing Claims declined to 12,580K for the week ending September 12th (12,275K expected), from a revised 12,747K in the week before. Finally, New Home Sales spiked to 1,011K on month in August (890K expected), from a revised 965K in July, a level last reached in late 2006.  

On Friday, Durable Goods Orders for the August preliminary reading are expected to rise 1.3% on month, compared to +11.4% in the July final reading.            

The Euro was bullish against most of its major pairs with the exception of the CAD and GBP. In Europe, on the economic data front, German IFO business climate index was released at 93.4 in September, compared with 92.5 in August (revised from 92.6) and 93.8 expected. The current conditions sub-index rose from 87.9 to 89.2 but 89.5 expected. The outlook sub-index stood at 97.7, compared with 97.2 a month earlier (revised from 97.5) and 98 expected.

The Australian dollar was bearish against all of its major pairs.  

It was a relatively quiet FOREX session on Thursday. The USD/CHF gained 29 pips to 0.9269 making it the big gainer on the day. Although there was not much action in the session the USDCHF has done an impressive reversal. The pair finally broke away from its short-term consolidation between 0.899 and 0.9185. We have been watching for a break of the rectangle pattern for quite some time. 0.9185 has now become key support in the rebound. Look for a continuation higher towards targets of 0.9375 and 0.9515 in extension.



Source: GAIN Capital, TradingView

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