Even the Swiss franc cannot attract investors as much as the US dollar amid recession fears. Dollar strength might worsen the already high inflation in Switzerland.Switzerland’s Producer Price Index declined, and this could mean cooling inflation. Today’s USD/CHF forecast is bullish as the Swiss franc is not immune to dollar-driven weakness. Despite the recent pause in the US dollar’s rally, analysts believe the catalysts for dollar strength, mainly recession fears, will keep it soaring. As the dollar soars, the Swiss franc suffers weakness, which drives inflation in Switzerland. –Are you interested to learn more about forex options trading? Check our detailed guide- Although the Swiss National Bank is on the hawkish side, it does not raise rates as frequently as the Federal Reserve. The next rate hike from SNB is expected in September, with investors betting on 100bps. SNB governor Thomas Jordan said he no longer sees the franc as highly valued. Markets expect a 100 bps hike from the Federal Reserve next week, supporting dollar strength. This expectation comes after the 9.1% year-over-year inflation reading in the US. Producer Price Index data released yesterday from Switzerland significantly declined to 0.3% from 0.9%. This news further weakened the franc against the dollar as it is an indicator of consumer inflation. If consumer inflation is also cooling, the 100bps bets for the Swiss National Bank’s September meeting might go down. USD/CHF key events today USD/CHF investors will get an idea of the current state of consumer spending in the US when the retail sales data is released later today. Investors expect core retail sales to increase to 0.6% from 0.5% and retail sales to go up from -0.3% to 0.8%. Get FREE Forex Signals Now! USD/CHF technical forecast: Weakness at 0.98824 The 4-hour chart shows a bearish divergence in the RSI, which indicates weakness in the uptrend. This weakness is seen in the most recent high at 0.98824, which failed to garner bullish momentum as the previous high. This weakness might only be a pause in the uptrend that requires a deeper pullback. It might also be a reversal in the trend but would only be confirmed by a clean break below the 30-SMA and RSI trading below 50. –Are you interested to learn about forex robots? Check our detailed guide- The price is currently at 30-SMA, which might act as support, as it has done before. If the price breaks below this SMA, the next support level will be at 0.97532. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next EUR/USD Price: False Breakdown Through 1.0000 Level, Targeting 1.007 Olimpiu Tuns 4 weeks Even the Swiss franc cannot attract investors as much as the US dollar amid recession fears. Dollar strength might worsen the already high inflation in Switzerland.Switzerland's Producer Price Index declined, and this could mean cooling inflation. Today’s USD/CHF forecast is bullish as the Swiss franc is not immune to dollar-driven weakness. Despite the recent pause in the US dollar’s rally, analysts believe the catalysts for dollar strength, mainly recession fears, will keep it soaring. As the dollar soars, the Swiss franc suffers weakness, which drives inflation in Switzerland. -Are you interested to learn more about forex options trading? Check our… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.