USD\/CHF fell on Thursday as the Swiss Franc strengthened after a slightly soft US jobless claims report. The pair traded at 0.7700, down 0.22%, and the US Dollar did not extend gains after Wednesday\u2019s Nonfarm Payrolls release.<\/p>\n
The technical setup points to a downward bias, with the Relative Strength Index (RSI) in line with ongoing downside momentum. The price previously dipped to about 0.7600 and rebounded towards 0.7800, but it then formed a lower high.<\/p>\n
After peaking, USD\/CHF moved down to 0.7627 and later turned higher, then spent the last three sessions ranging between 0.7600 and 0.7700. A move below 0.7600 would bring 0.7550 into view, followed by 0.7500.<\/p>\n
If the pair rises above 0.7700, it may meet resistance at the 20-day Simple Moving Average at 0.7780. A break above 0.7780 would open 0.7800, then 0.7861, and then 0.7900.<\/p>\n
Looking back at the end of 2025, we saw a clear bearish trend for USD\/CHF driven by soft US data. The prevailing view was that a break below 0.7600 was likely, with momentum indicators pointing downwards. This sentiment carried us into the new year.<\/p>\n
However, the landscape has shifted significantly in the first weeks of 2026. The January US CPI print came in at a sticky 3.2%, surprising markets, and the latest non-farm payrolls added a robust 250,000 jobs. This data suggests the Federal Reserve may delay any potential rate cuts, creating a policy divergence with the Swiss National Bank.<\/p>\n
Consequently, the pair has reversed its course, breaking decisively above the old resistance levels we watched, like 0.7780 and 0.7861. The current price action around 0.8050 indicates that the bearish momentum from late last year has completely faded. This reversal shows how changing economic fundamentals can swiftly overpower a technical setup.<\/p>\n
Given this renewed USD strength, we should consider strategies that benefit from a continued move higher in the coming weeks. Selling cash-secured puts with a strike price near former resistance, perhaps around 0.7900, could be an effective way to collect premium. This level should now act as a solid floor for any potential pullbacks.<\/p>\n
For a more direct bullish play with defined risk, purchasing call options expiring in March or April looks attractive. We are also seeing implied volatility tick up from the December 2025 lows of around 6% to a more recent 8.5%, suggesting the market is pricing in larger price swings. A bull call spread could help offset some of this rising premium cost while still positioning for upside.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" USD\/CHF slid to 0.7700 as Swiss Franc strengthened; bearish RSI signals more downside below 0.7600.<\/p>\n","protected":false},"author":62,"featured_media":16962,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-41750","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/41750","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=41750"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/41750\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/16962"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=41750"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=41750"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=41750"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}