Source: PaxForex Premium Analytics Portal, Fundamental Insight

Swiss Retail Sales for June increased 0.1% annualized. Forex traders can compare this to Swiss Retail Sales for May, which increased by 2.8% annualized. The Swiss CPI for July decreased 0.1% monthly and increased 0.7% annualized. Economists predicted a decrease of 0.1% and an increase of 0.7%. Forex traders can compare this to the Swiss CPI for June, which increased 0.1% monthly and 0.6% annualized. 

The Final US Markit Manufacturing PMI for July is predicted at 63.1. Forex traders can compare this to the US Markit Manufacturing PMI for June, reported at 62.1. US Construction Spending for June is predicted to increase 0.4% monthly. Forex traders can compare this to US Construction Spending for May, which decreased 0.3% monthly. The US ISM Manufacturing Index for July is predicted at 60.9. Forex traders can compare this to the US ISM Manufacturing Index for June, reported at 60.6.

The forecast for the USD/CHF remains bearish after price action moved below its Ichimoku Kinko Hyo Cloud, which has taken a bearish bias, expected to increase selling pressure. While volatility is likely to increase over the following few trading sessions, the Tenkan-sen and the Kijun-sen show signs of rising bearish momentum. The CCI moved into extreme oversold territory and is expected to attempt a false breakout before extending its slide. Can bears maintain control over this currency pair and force the USD/CHF into its next horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.

Should price action for the USD/CHF remain inside the or breakdown below the 0.9035 to 0.9085 zone, PaxForex recommends the following trade set-up:

• Timeframe: D1           
• Recommendation: Short Position
• Entry Level: Short Position @ 0.9055
• Take Profit Zone: 0.8755 – 0.8795
• Stop Loss Level: 0.9140

Should price action for the USD/CHF breakout above 0.9085, PaxForex recommends the following trade set-up:

• Timeframe: D1           
• Recommendation: Long Position
• Entry Level: Long Position @ 0.9140
• Take Profit Zone: 0.9220 – 0.9260
• Stop Loss Level: 0.9085

Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.