The US dollar started off strong against the Swiss franc on Friday, but later lost momentum, showing signs of hesitation. It seems like there will be a lot of volatility in this area, with the 50-Day EMA and the key 0.90 level likely to provide technical support.
If the market can break above the 0.91 level, we may see it rise towards the 0.9250 level, which was the top of a previous consolidation area. Breaking above this level could lead to even higher levels, possibly reaching 0.95 in the coming months.
Despite some volatility on Friday due to disappointing economic news from the University of Michigan Consumer Sentiment numbers, the overall scenario seems to favor the US dollar. However, concerns about the US economy may impact future Federal Reserve rate decisions.
The Swiss National Bank has already cut rates, making it likely that buyers will step in to push the market higher. Although interest rates may decrease with any signs of US economic slowdown, the long-term outlook suggests a potential break above the 0.9250 level.
Overall, the market outlook favors the US dollar, but it’s important to monitor economic developments and potential rate decisions. Trading opportunities may arise for those keeping an eye on the market trends.