USD\/CHF rose about 0.27% on Monday, rebounding to 0.8100 after touching 0.8056, following reported FX market intervention by US and Japanese authorities. Better-than-expected US economic data and a reported halt in hostilities between the US and Iran also supported the dollar. The pair\u2019s bounce came as it held above the 50-day Simple Moving Average (SMA) at 0.8037, while the Relative Strength Index (RSI) turned bullish again after two days of weakness.<\/p>\n
Technically, a move above 0.8150 would open 0.8200 and the yearly peak at 0.8207, with further resistance seen at 0.8250 and 0.8300. On the downside, a break back below 0.8100 and then the 50-day SMA at 0.8037 would shift focus to the 100-day SMA at 0.7954, followed by the 200-day SMA at 0.7928.<\/p>\n
Separately, background factors for CHF include its 2011\u20132015 EUR peg and the SNB\u2019s four policy meetings each year, targeting inflation of less than 2%, while some models put EUR-CHF correlation at more than 90%.<\/p>\n\n\n\n