Ella 
USD/CHF rebounded after correcting to the key support around 0.8900, supported by the dollar’s resilience amid a risk-off market sentiment. The Swiss franc has generally remained strong as global uncertainty deepens and the dollar’s appeal remains strong.
S&P 500 futures posted decent gains during the European session, driven by risk aversion. U.S. stocks also came under selling pressure on Thursday as a strong performance in the U.S. economy could lead the Federal Reserve to actively discuss further tightening of policy.
Regarding monetary policy in September, Fed policymakers: Dallas Fed President Lorie Logan and New York Fed President John Williams said they have no intention of raising interest rates further.
The Swiss franc remains volatile as the Swiss economy remains stagnant in the April-June quarter, while investors expect the Swiss economy to grow by 0.1%. In the January-March quarter, the Swiss economy grew by 0.3%.
USD/CHF paused its gains after hitting near a previous resistance zone in the 0.8900-0.9020 area on the four-hour chart. USD/CHF is trading within an ascending channel chart pattern, with market participants viewing each correction as a buying opportunity. The 50-period exponential moving average (EMA) around 0.8870 continues to provide support for the dollar bulls.
Meanwhile, the relative strength index (RSI) (14) is in a bullish range of 60.00-80.00, which suggests that upside momentum has kicked in.
USD/CHF needs to climb above the psychologically important resistance of 0.9000 for further upside, which would push the pair towards the June 15 high of 0.9056 and then the June 12 high of 0.9109.
In another scenario, a break below the April 30 low around 0.8750 would see USD/CHF facing the August 10 low at 0.8890 and the July 24 low at 0.8637.
