USD/CHF falls back to new low of 0.9144 as Swiss Franc rebounds

• USD/CHF eases back as Swiss Franc finds some much-needed bids.
• European safe-haven flows are helping to bolster the Franc.
• SNB market intervention reaches new highs as they look to defend the CHF.

The USD/CHF reached an intraday low of 0.9144 as the US Dollar (USD) is easing up broad-market pressures and giving the Swiss Franc (CHF) a chance to find a foothold.

Swiss inflation declined 0.1% on Tuesday, making the Swiss National Bank (SNB) the envy of their peers, with inflation proving to be a sticky problem for the rest of the European economies. European safe-haven flows from across the EU are giving the CHF some support.

Back in Switzerland, the SNB was seen stepping up their foreign currency operations in an effort to support the Swss Franc; the SNB sold $44.2 billion worth of foreign currencies into the markets during the second quarter. This represents the largest single-quarter foreign currency operation since the SNB first started publishing its FX transaction records in 2020.

It's still another Non-Farm Payrolls Friday coming up, promising plenty of volatility, and USD/CHF traders will want to keep a close eye on breakouts.

USD.CHF technical outlook

The USD/CHF has fallen back to the 200-hour Simple Moving Average (SMA) near 0.9160 as hourly candles get capped by the 34-hour Exponential Moving Average (EMA) near 0.9190.

The Greenback's recent rise has sent the USD/CHF back over the 200-day SMA currently settling just south of 0.9050, and Tuesday's peak of 0.9244 represents a seven-month high for the pair.

USD/CHF daily chart

USD/CHF technical levels