6) USDCHF

Technical Analysis (MA, RSI, STOCH, MACD, ADX)

• M30 - DOWN
• H1 - UP
• H4 - UP
• D1 - DOWN
• W1 - DOWN
• MN - DOWN

• Resistance: 0.9206, 0.9250, 0.9275
• Support: 0.9100, 0.9070, 0.9000

Trading in the currency pair this week was quite active and multidirectional. The currency pair has been within the sideways range of 0.9206 - 0.8940 for almost the whole week. The multidirectional movement was driven by the periodic demand for protection. The main fears, as usual, were from the Middle Kingdom. At first, China introduced a full lockdown in several large industrial cities, later it set a record for the number of cases since the beginning of September. Also, fear was caused by the potential default of the Chinese giant Evergrande, which was supposed to pay interest on dollar bonds no later than Friday. Earlier, the Chinese authorities demanded from the founder of Evergrande Hui Ka Yan to direct his own funds to pay off the company's debts. As it later became known, the payment was made, which significantly calmed the markets. The currency pair traded within a range of 125 pips over the week, while closing +20 pips. At the end of the week, the market has established itself in the Risk-ON state. The value of the Fear-Greed indicator points to 72.

Switzerland has traditionally not published anything this week. Now the Swiss franc has become 'hostage' to its role as a safe-haven currency, as the macroeconomic calendar has been empty for many weeks.

On the other hand, there were many important publications in the US, here and the labor market, which once again showed a steady decline in the number of weekly applications for unemployment benefits, and as we know, the latest data before the FOMC meeting was published this Thursday. But in the midst of the positive, the primary GDP for the third quarter of the United States was published. The data was very weak, which put strong pressure on the USD on Thursday. Q3 GDP fell short of expectations, growing only 2.0% qoq.

However, all this had only a temporary effect on the currency pair, most investors are now confident that the Fed will announce after the FOMC meeting the start of the reduction of the QE program. Plus, the anticipation of an earlier start to the process of increasing interest rates became a tailwind for the US dollar and the currency pair as a whole.

Switzerland will not publish anything important again next week. There are a lot of important publications and events in the USA.
**Monday:**
- US ISM Manufacturing PMI (Oct)
**Wednesday:**
- ADP Nonfarm Employment Change (Oct) - USD
- FOMC Statement - USD
- Fed Interest Rate Decision - USD
- FOMC Press Conference - USD
**Thursday:**
- US Initial Jobless Claims - USD
**Friday:**
- Nonfarm Payrolls (Oct) - USD
- US Unemployment Rate (Oct) - USD

In terms of the prospects for the movement, as we noted earlier, as long as the currency pair is below the important resistance level of 0.9400, we will adhere to the idea that the market is sideways. Only on the breakdown of the level of 0.9400 can we say more confidently that the bulls have gained the upper hand in the currency pair.
Now the currency pair is near the level of 0.9206, earlier the currency pair regularly and for a very long time was hovering sideways between the levels of 0.9206 - 0.8940.
The fundamental assessment speaks of an exclusively upward movement, but before the breakdown of the 0.9400 confirmation level, the currency pair is technically in a sideways trend.


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