The USD/CHF has edged higher and has ignored some resistance levels, right now is challenging an important dynamic resistance that could pause the bullish momentum. However a valid breakout above this dynamic resistance will attract even more buyers, which will drive the rate much higher in the coming period. The USD has become strongly bullish on the short term as the US dollar index has rallied after the false breakdown below the 99.12 level, the index is located right above the 100.10 level, much above the 99.79 yesterday’s high. A further USDX’s growth will force the greenback to appreciate further versus the other major currencies.

Looks like that the USDX’s short corrective phase is completed and the rate could try to climb and approach new highs in the coming days, is moving somehow sideways and most likely will continue this range in the upcoming weeks because I don’t believe that will have enough energy to make a significant move in one direction.

The CHF dropped significantly even if the UBS Consumption Indicator surged from 1.44 to 1.50 in February, while the Credit Suisse Economic Expectations surged from 19.4 to 29.6 points.

The rate has increased sharply today, resuming the yesterday’s bullish momentum, is trading much above the 0.9900 psychological level after the breakout above the 0.9955 and above the sliding line (ascending dotted line). Right now is pressuring the median line (ml) of the descending pitchfork, remains to see what will happen in the coming hours because a rejection will could signal another bearish movement. However a valid breakout will attract even more buyers, which will lead the price towards new highs.

Is still under pressure as long as is trading below the median line (ml), only a breakout could change the sentiment on the short term, could try to approach the median line (ml) of the minor ascending pitchfork and the upper median line (uml) of the descending pitchfork if the USDX will climb towards the 102.00 psychological level in the coming period. He could find major resistance at the lower median line (LML) of the major ascending pitchfork.