USDCHF Daily Outlook - Last week the USD took a bunch of beating on a combination of Fed rate cut actions and expectations, and as the coronavirus starts the spread through the United States topping 550 cases and 21 deaths at the time of filming.

Meanwhile, the Canadian dollar took a massive hit on Friday and early during Monday’s Asian session as oil prices continued to drop to its worst day in 10 years.

This week is projected to remain incredibly volatile across most currency pairs but on Monday we’ll also be looking at China’s CPI for February.

Today I’m looking at the USD/CHF pair which is quickly approaching the key support level of 0.9232 which we identified last week. From what it looks like with the Coronavirus turning into a pandemic and continuing to spread across the US, we could expect the pair to continue dropping towards the lows of 2016, with supports set at 0.90 and 0.87 respectively.

But then again, the news is changing so quickly that we can’t be too sure. While there could be a ton of reward shorting the pair, there also is a huge amount of risk.

I’d love to hear from you. Are you trading the current markets, or are you staying away until things stabilize a little bit?

Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.

High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% and 70% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.