(USD/CHF) - Is SNB Rate Cut Bullish or Bearish?

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🔔🔔🔔USD/CHF news:

👉Switzerland’s inflation outlook remains highly uncertain, with downside risks being the primary concern. Inflation in Switzerland has evolved in line with expectations and continues to be driven mainly by domestic services.

👉The situation will be closely monitored, and policy adjustments will be made if necessary. Assessing the impact of current tariffs and trade policies remains challenging.

👉Europe’s financial stimulus package is expected to benefit the Swiss economy. With this measure, monetary conditions are now appropriate, and there are no comments on the value of the Swiss franc.

👉Economic uncertainty remains high, both in positive and negative directions. This rate cut is designed to proactively address deflationary pressures.

Personal opinion:
👉Based on the interest rate policies of both central banks, in the short term, CHF is weaker than USD in many aspects, so USD/CHF may increase during this period.

👉Technically, RSI (1H) is entering the extreme overbought zone (near 80), so there will be a slight decline to adjust for the next increase. Consider strong support zones to get the best price

👉Analyze based on resistance - support levels combined with EMA and RSI to come up with a suitable strategy

Plan:
🔆Price Zone Setup:

👉Buy USD/CHF 0.8810- 0.8800
❌SL: 0.8775 | ✅TP: 0.8850 – 0.8890 – 0.8930

FM wishes you a successful trading day 💰💰💰

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