USD/CHF testing 0.9400

FXstreet.com (London) - USD/CHF is testing 0.9400 in the European session after gapping to open much higher after last weeks lowest quote of 0.9226.

The NFP’s revealed that the US economy added 175k jobs in May offering the bulls peace of mind that a sharper slowdown in employment growth is not underway. The USD has rallied across the board, exuberated in the Asian session. "The market has sold off towards and reversed ahead of 0.92065, the April low and 0.9197 the 78.6% retracement of the move seen this year. The rebound from here has already severed the accelerated downtrend and it is possible that it is attempting to base. However rallies will need to regain 0.9532 (50% retracement) to alleviate immediate downside pressure,” explained Karen Jones at Commerzbank. She continued to say that below 0.9197 will target 0.9023, the 2013 low.

Levels

Through 0.9400, next resistance is 0.9440. ICN.com said that the general trend over short term basis is to the downside stable at levels 0.9775 targeting 0.8860

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