Inflation is on the rise in Switzerland as well. USD/CHF bears are pushing the pair to 0.9600. SNB is expected to raise rates gradually. The USD/CHF outlook is bearish as the price closed Tuesday on a bearish candle. The same way it did on Monday. Since last week, the pair has been going down a lot, and this could continue because the dollar is getting weaker and inflation in Switzerland is going up. –Are you interested in learning more about British Trade Platform Review? Check our detailed guide- In April, Swiss consumer prices rose by 2.5% annually, the highest since 2008. The Swiss National Bank has quite a negative benchmark interest rate. The rise in inflation gives the bank a chance to raise interest rates, strengthening the Swiss franc against the dollar and pushing USD/CHF lower. The financial crisis in 2008 saw investors turning to Swiss francs for safety, and since then, the central bank has intervened in the currency markets to prevent its appreciation. Recent demand for the US dollar and rising Treasury yields in the US have weakened the Swiss franc against the dollar through April and early May, but this trend seems to have stopped. Switzerland has a strong trade balance of 12% of GDP, the largest since 1950. The SNB will avoid increasing pressure on the currency by raising interest rates. Last week, the bank’s chair, Thomas Jordan, said that SNB’s monetary policy depends on negative rates and limiting the franc’s strength.” We are not a hostage to other central bank monetary policies.” We have an independent policy with a focus on price stability. Once the SNB begins to raise rates, it is expected to gradually increase. The hiking process is expected to begin as soon as September 2022. USD/CHF key events today A few things might make USD/CHF move later in the day. Most of which come from the US. Investors are expecting to see reduced manufacturing activity. The Core Durable Goods Orders are expected to be reduced from 1.2% to 0.6%. Crude oil inventories are expected to fall by -0.737M from -3.394M. Lastly, the FOMC Meeting Minutes might also move the pair a lot. Get FREE Forex Signals Now! USD/CHF technical outlook: Bears ready to break below 0.9600 The 4-hour chart shows USD/CHF currently trading at 0.9600 after a sharp reversal and break of the 30-SMA to the downside. The price has broken out of its envelope and is in the oversold region, showing a lot of momentum. –Are you interested in learning more about buying NFT tokens? Check our detailed guide- We could see prices falling below the 0.9600 level with downward momentum. A pullback to 0.9700 is also possible before we see lower prices. Bulls will only return to this market when we see a clean break of the 30-SMA to the upside, and the RSI gets overbought. Until then, the bias remains bearish. 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 USD/JPY Forecast: Bears Keeping Gains Capped at 127.00, Eying FOMC Saqib Iqbal 8 months Inflation is on the rise in Switzerland as well. USD/CHF bears are pushing the pair to 0.9600. SNB is expected to raise rates gradually. The USD/CHF outlook is bearish as the price closed Tuesday on a bearish candle. The same way it did on Monday. Since last week, the pair has been going down a lot, and this could continue because the dollar is getting weaker and inflation in Switzerland is going up. -Are you interested in learning more about British Trade Platform Review? Check our detailed guide- In April, Swiss consumer prices rose by 2.5% annually, the highest since… 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.