USD/CHF Price Analysis: Trapped within the 0.9300-49 range on risk-off mood

• The USD/CHF falls in the North American session, down 0.05%.
• USD/CHF Price Forecast: Range-bound, but if the 0.9349 is broken, a move towards 0.9400 is on the cards.

The USD/CHF remains subdued amid a choppy trading session, as the pair seesaws around the 0.9300-47 range, unable of breaking above Wednesday’s high at 0.9349, meaning that consolidation might lie ahead. At the time of writing, the USD/CHF is trading at 0.9332.

Investors’ sentiment is negative, as shown by European and US equities falling. Factors like the Russo-Ukraine war, the global central bank’s tightening monetary conditions in the middle of an elevated inflation scenario, and China’s March PMIs contracting below 50 paint an ugly outlook for Q2 2022.

Nevertheless, the greenback holds to gains, boosted by its safe-haven status on Thursday. The US Dollar Index, a gauge of the buck’s value against its peers, edges up 0.07% and sits at 99.692. The 10-year US Treasury yield rises three basis points, up to 2.633%.

Overnight, the USD/CHF clung to the daily pivot point around 0.9323 and hovered up/down that level, though trendless as USD/CHF traders assessed the pair’s direction.

USD/CHF Price Forecast: Technical outlook

The USD/CHF uptrend remains intact. The daily moving averages (DMAs) reside well below the spot price, though almost horizontally, but sitting beneath the 0.9263 50-DMA.

The 4-hour chart shows that a bullish flag, drawn since March 14 highs around 0.9460, was broken, opening the door for further upside on the USD/CHF pair but consolidated within the central daily pivot at press time the R1 resistance level.

That said, the USD/CHF first resistance would be 0.9349. A clear break would expose March 27 and 29 highs area around the 0.9370-80 region, which, once broken, might send the pairs towards March 16 daily high at 0.9460, but first would need to reclaim the 0.9400 mark once broken.

Technical levels to watch