Forex: USD/CHF falls to 0.9700 level after US PPI

FXstreet.com (Barcelona) - The USD/CHF has been a pillar of brightness surrounded by a Euro-induced quagmire Wednesday, after the single currency has shown a debilitating weakness intraweek. Indeed, the pair has rocketed higher and breached the 0.9700 level, however following the release of US economic data, the cross is now trading back at this region.

In the United States, the Producer Price Index (YoY) has grown +0.6% in April, against expectations of +0.8%. In addition, the Producer Price Index ex Food & Energy (YoY) has yielded a growth of +1.7% in April, matching a projection of +1.7%.

According to the Mataf.net analyst team, an extended USD/CHF rise will meet calculated resistance at 0.9706, then 0.9766, and finally 0.9858. Alternatively, a paring of recent gains will drive the cross towards supports at 0.9552, then 0.9460, ahead of 0.9399.