According to the most recent data from Reuters, the one-month risk reversal of USD/CHF, a barometer of calls to puts, climbed for the fifth consecutive quarter, ending a three-month downtrend, by the end of June.
This coincides with the USD/recovery CHF’s in June, which saw a 2.94 percent MoM increase to roughly 0.9250.
By the close of Wednesday trading, risk reversals had flashed a +0.450 figure for June, as well as a +0.2000 figure for Q2 2020, indicating a significant bullish bias among USD/CHF traders. However, by press time, the weekly count was on its way to snapping the five-week upswing, -0.012.
Technically, a daily close above the 0.9240-45 level, which includes the June 18 high and early March lows, allows USD/CHF buyers to target the 0.9300 level in September 2020./n
