Trading USD/CHF

The USD/CHF currency pair is one of the most popular majors in the forex trading world. Sometimes referred to as the ‘Swissy’, it combines the US Dollar and the Swiss Franc. In this article, we’ll discuss how to trade the USD/CHF. We’ll look beyond the candlestick and bar chart to review the history of the pair and other fundamental analysis factors. We’ll provide a guide to the best FX strategies, correlations and trading times.

USD/CHF Trading Brokers

  1. rating empty
    rating full

    Pepperstone offers ultra-competitive forex spreads averaging 0.12 pips on EUR/USD in the Razor account, accompanied by a diverse portfolio comprising 100+ currency pairs - an extensive selection surpassing most competitors. Additionally, Pepperstone distinguishes itself by offering three currency indices (USDX, EURX, JPYX), not commonly found among alternative platforms. Pepperstone has now won our annual 'Best Forex Broker' award twice.

  2. XTB

    rating empty
    rating full

    XTB provides access to 70+ currency pairs with low spreads averaging around 1 pip on majors. The xStation platform offers an intuitive environment for forex traders with an excellent charting package encompassing 30+ indicators, plus a range of order types, catering to various strategies and risk management techniques.

  3. rating empty
    rating full

    CMC presents an extensive array of 300+ forex pairs characterized by tight spreads and rapid executions, surpassing the offerings of many competitors in terms of currency diversity. Forex indices also present a fairly unique and holistic way to speculate on the value of key currencies like the USD, EUR and GBP.

  4. rating empty
    rating full

    FXCC's key selling point is its forex trading conditions. ECN spreads come in as low as 0.0 pips during peak trading hours, while it supports a wider range of currency pairs than the majority of rivals with over 70 forex assets. Additionally, you have access to MT4, which was built specifically for forex trading and excels for its charting tools.

  5. rating empty
    rating full

    Vantage offers 55+ currency pairs - above the industry average, so experienced traders can explore plenty of opportunities. Vantage's deep liquidity pool provides forex spreads from 0.0 pips in the ECN account, lower than many alternatives. There are also no commissions, deposit fees or hidden charges.

  6. rating empty
    rating full

    IC Markets maintains its commitment to providing exceptionally tight 0.0-pip forex spreads on major currency pairs such as EUR/USD. This makes it an excellent option if you are seeking superior execution, with an average of 35 milliseconds. Additionally, if you are a high-volume trader, you can benefit from rebates of up to $2.50 per forex lot.

  7. rating empty
    rating full

    FOREX.com continues to uphold its stature as a premier FX broker, offering over 80 currency pairs and boasting some of the most competitive fees in the industry. With EUR/USD spreads dipping as low as 0.0 and $5 commission per $100k, it stands out. Moreover, its SMART Signals help to identify price behaviors across numerous major currency markets.

  8. rating empty
    rating full

    Eightcap offers 50+ currency pairs in line with the industry average but trailing category leaders like CMC Markets with its 300+ currency pairs. However, Eightcap stands out with institutional-level spreads from 0.0 pips on major pairs like the EUR/USD, alongside low $3.50/side commissions. The broker also offers rich forex data to inform trading decisions, including key fundamentals, bullish/bearish indicators and a calendar that tracks key events in the foreign exchange market.

  9. rating empty
    rating full

    PrimeXBT offers forex trading on over 50 majors, minors and exotics with margin opportunities and zero commissions. The forex platform is fast, reliable and feature-rich based on our latest tests with 3 charts, 10 timeframes, and 91 technical studies - ideal for active trading strategies.

  10. rating empty
    rating full

    OANDA offers 68 currency pairs, which is above the industry average. You can speculate on majors, minors and exotics, with spreads from 0.8 pips on popular pairs. There are no commissions and leverage is available up to 1:200. Average execution speeds are fast based on tests, at 12 milliseconds.

  11. rating empty
    rating full

    FxPro offers 70+ currency pairs but no minors and stands out with its ultra-fast execution speeds and tight spreads averaging 0.45 pips on EUR/USD. Forex traders can also build test and deploy short-term trading strategies on the industry-leading MT4 software, with expert advisors (EAs) for algo trading.

  12. rating empty
    rating full

    Plus500 provides forex trading through CFDs, featuring narrow spreads across an impressive selection of over 60 currency pairs. During testing, spreads came in as tight as 0.6 pips on the EUR/USD, which is notably lower than many alternatives.

  13. rating empty
    rating full

    Trade a wide selection of 80+ currency pairs with spreads from 0.5 pips and industry-favorite platforms. City Index has 40+ years experience in forex trading with liquidity from tier-one banks.

  14. rating empty
    rating full

    Markets.com offers 43 major, minor and exotic currency pairs. The range is around the industry average, though spreads are fairly competitive, starting from 0.6 pips for EUR/USD. There’s also an excellent range of tools and education, including forex calculators and trading videos.

  15. rating empty
    rating full

    NinjaTraders supports the trading of popular currencies including the EUR/USD. The software also offers advanced features to streamline the trading experience, including complex order types like market if touched (MIT) and one cancels other (OCO).

  16. Axi

    rating empty
    rating full

    Axi’s 70+ currency pairs is its strongest market offering and beats out rivals like AvaTrade, which offers only 50+. Combine this with an elevated MT4 offering through the NextGen add-on, and Axi remains an excellent broker for forex traders.

  17. rating empty
    rating full

    IBKR presents an extensive range of over 100 major, minor, and exotic forex pairs, surpassing the offerings of nearly all leading alternatives, though not CMC Markets. Forex trading occurs over multiple platforms and boasts institutional-grade spreads starting from 0.1 pips and 20 complex order types, including brackets, scale, and one-cancels-all (OCA) orders.

  18. rating empty
    rating full

    IG offers an above-average suite of 80+ currency pairs on its proprietary web platform, mobile app or MetaTrader 4, with more advanced charts and forex analysis tools available on the ProRealTime software. Forex spreads are competitive based on tests, starting from 0.1 pips on majors like the EUR/USD.

  19. rating empty
    rating full

    Videforex offers trading on 35 currency pairs through leveraged CFDs with spreads from 0.1 pips. Alternatively, traders can use binaries to speculate on upward/downward price movements with payouts up to 98%. Integrated technical analysis, economic calendars, and market news, all available within the platform, help support FX trading decisions.

  20. rating empty
    rating full

    An above-average selection of 55 currencies are available with reasonable spreads averaging 0.9 pips on EUR/USD during peak hours. Aspiring traders can continuously hone their forex strategies by switching between demo mode and their live account any time, with full access to the broker's 100+ technical indicators.

  21. rating empty
    rating full

    Focus Option offers 22 forex pairs tradeable via binary options, including a selection of majors and minors. FX pairs are also available to trade with margin on Focus Option's mobile app, which offers high leverage up to 1:50 and spreads from 1 pip.

  22. rating empty
    rating full

    OspreyFX offers more than 50 major, minor and exotic currency pairs. Spreads start from just 0.1 pips on the EUR/USD and the broker provides a suite of forex trading education for beginners, including partnering with Forex Squad for fresh insights.

  23. rating empty
    rating full

    CloseOption offers binaries on 25+ forex pairs, including majors like EUR/USD and a few minors like AUD/JPY. Payouts vary by currency, with decent typical payouts of 75% for GBP/USD.

  24. rating empty
    rating full

    Amega offers an unusually large selection of currency pairs for an unregulated broker with 70+ forex CFDs, alongside up to 1:1000 leverage, zero commissions and competitive spreads from 0.8 pips. FX traders also have access to MT5 – the faster, more advanced version of MT4.

  25. rating empty
    rating full

    Errante traders can access 50+ forex pairs with leverage up to 1:500 (location dependant). The broker offers fast execution and tight spreads, especially to clients with VIP and Tailor-Made accounts.

  26. rating empty
    rating full

    Kwakol Markets offers a wider range of forex pairs than most competitors, with 90+ assets available. Users get fast execution speeds and competitive spreads through the ECN model. On the negative side, not all currency pairs are available on MT4.

  27. rating empty
    rating full

    Coinexx offers an excellent selection of 70+ major, minor and exotics currency pairs, presenting diverse opportunities with a forex calculator to aid trading decisions. It’s also one of a select few brokers to support forex trading on the ActTrader platform, alongside MT4 and MT5.

  28. rating empty
    rating full

    Ingot Brokers offers forex trading on a modest suite of 30+ currency pairs with raw spreads on the MT5 platform. There are also no restrictions on short-term trading strategies, including hedging, scalping and the use of Expert Advisors (EAs).

  29. rating empty
    rating full

    Trade a small selection of 25 major and minor pairs. Spreads from zero on the pro account, micro-lot trading, and very high leverage make up for the limited range of currencies. The MetaTrader software is also a well-regarded platform for forex trading.

  30. rating empty
    rating full

    Go long or short on over 50 currency pairs with spreads from 0.6 pips on EUR/USD. Traders can access interactive tools on the forex industry’s most popular software, MetaTrader 4, with customizable charts, one-click trading and Expert Advisors (EAs) for algo trading.

  31. rating empty
    rating full

    World Forex offers CFD and digital contract trading on 53 forex pairs, including EUR/USD and GBP/EUR. High leverage is available for CFDs, which can be accessed with competitive spreads on certain account types.

  32. rating empty
    rating full

    FinPros offers 80+ forex pairs, which is one of the more diverse offerings available. Traders benefit from ultra-low latency, MT5 support and very tight spreads and low commissions on the RAW+ account.

  33. rating empty
    rating full

    Trade 45+ major, minor and exotic pairs with deep liquidity and low latency. The ultra-tight spreads from 0.01 pips on raw accounts, competitive $7 or lower round-turn commissions and high leverage up to 1:500 will suit scalpers, who can trade without limits.

  34. rating empty
    rating full

    IQCent traders can access CFDs or binary options on 45+ forex pairs. CFD spreads start from 0.3 pips and binary options payouts are decent up to 95%. This is competitive compared to Pocket Option, for example, offering forex payouts up to only 81%.

  35. rating empty
    rating full

    Trade 50+ forex pairs including popular majors and minors with very high leverage available up to 1:1000. Gold, silver, palladium and platinum pairs with USD are also available.

  36. rating empty
    rating full

    RaceOption offers 25+ major and minor currency pairs on a no-frills, web-accessible platform with 30+ indicators and built-in copy trading opportunities for a hands-off investment approach.

  37. rating empty
    rating full

    Scope Markets offers 40+ major, minor and exotic currency pairs. Although the range is average, experienced traders can access very high leverage up to 1:2000. Additionally, the broker’s proprietary terminal delivers advanced analysis tools, including a live forex heatmap.

  38. rating empty
    rating full

    Trade 50+ forex pairs, including popular major, minor and exotic pairs. This is a decent selection, but traders will have a choice between the attractive MT4, MT5 or IRESS platforms and regulatory cover from ASIC. The VPS will also suit automated forex trading strategis.

  39. rating empty
    rating full

    Anzo Capital offers 45+ forex pairs including majors, minors and exotics with fast execution and spreads starting from zero. High leverage up to 1:1000 is available with a margin call at 80% and a stop out level at 50%.

  40. rating empty
    rating full

    I think the range of 60+ major, minor and exotic currency pairs is fairly competitive, especially with spreads from 0 pips in the Pro account. Experienced traders can also access high leverage up to 1:500 in the popular MT4 platform.

  41. rating empty
    rating full

    Rock Global clients can access 50+ currency pairs via CFDs with leverage up to 1:500, world class liquidity and fast execution on the MT4 or TWS platforms. The tight spreads from 0.9 with no commission are a particularly attractive feature.

  42. rating empty
    rating full

    VT Markets offers an average selection of 40+ forex pairs with up to 1:500 leverage. Forex spreads in the ECN account are highly competitive, starting from 0.0 pips, although the 1.2-pip minimum quotes in the Standard account are a little higher than the likes of Pepperstone or IC Markets.

  43. rating empty
    rating full

    Binary and OTC options can be purchased on 40+ currency pairs, with 55+ currency pairs available if you deposit $1000. Typical payouts are reasonable at 81% and the $1 minimum trade makes the broker accessible to new forex traders. There is also access to the MT4 and MT5 platforms for experienced forex traders.

  44. rating empty
    rating full

    Exinity offers 150+ forex pairs to trade on a very competitive ECN pricing model, with spreads from zero and low commissions of $4 per round turn. Traders can access the powerful MT4 and MT5 platforms and trade with no restrictions on popular trading strategies.

  45. rating empty
    rating full

    ForexChief supports spot foreign exchange trading on all account types for 40+ major, minor and exotic currency pairs. Trading takes place on the leading MT4 and MT5 platforms, which offer dozens of in-built technical tools for short-term forex strategies.

  46. rating empty
    rating full

    PU Prime clients can trade 40+ forex pairs via the MT4 and MT5 platforms with dynamic leverage up to 1:500. Spreads start from near zero on Prime accounts, which also charge a $7 commission per lot, and a zero-commission Standard account with wider spreads is also available.

  47. rating empty
    rating full

    With 100+ currency pairs including all majors plus many minors and exotics tradeable on the MT4 platform with 1:2000 leverage, SuperForex lives up to its name as a great choice for forex traders. The ForexCopy system is also useful for newer traders.

  48. rating empty
    rating full

    AdroFx's strongest offering is its 60+ currency pairs, which can be traded with very high leverage up to 1:500. The broker also offers competitive forex spreads starting from 0.4 pips and charges no commission. Additionally, traders have access to MetaTrader 4, which was built for forex trading and offers excellent support for technical analysis and algo trading.

  49. rating empty
    rating full

    Start trading on dozens of currencies at RoboMarkets with powerful analysis tools and pattern recognition technology. 35+ currency pairs are available with tight spreads from 0 pips and rapid market execution. You can also utilise the broker's forex news alerts and economic calendar.

  50. rating empty
    rating full

    Trade 7 major, 21 minor and 29 exotic forex pairs with high leverage and a choice between STP or ECN accounts. Support is available around the clock and the TradeLocker forex software is provided.

  51. rating empty
    rating full

    M4Markets offers 45+ currencies with zero pip spreads. The low latency and 30-millisecond execution speeds makes the broker a decent choice for forex traders. Additionally, there are no restrictions on trading strategies, including scalping.

  52. rating empty
    rating full

    MultiBank FX offers trading on 50+ major, minor and exotic currency pairs. Spreads are tighter than many competitors and the broker offers higher leverage than most alternatives. Automated trading strategies are also permitted.

  53. rating empty
    rating full

    I’m happy with Tradeview’s strong range of 60+ currency pairs spanning majors, minors and exotics with competitive spreads from 0 pips in the $1000 ILC account. Traders can choose from several platforms, but I was particularly impressed with the feature-rich Currenex platform which is designed specifically for currency trading.

  54. rating empty
    rating full

    Global Prime traders can access 48 forex pairs including majors, minors and exotics with tight spreads from 0.9 with no commission or from 0 with a $7 round turn. Forex is traded via the leading MT4 platform, micro lots are available and latency is low via a New York-based server.

  55. rating empty
    rating full

    Trade Nation offers over 30 of the most popular forex pairs with variable spreads. Traders can access a slick proprietary platform or MetaTrader 4, with real-time forex market updates and insights via 'Smart News'.

  56. rating empty
    rating full

    As well as a competitive selection of 55+ forex pairs, traders can access high leverage up to 1:300. You can also enjoy advanced analysis from Trading Central with easy integration into MetaTrader 4.

  57. rating empty
    rating full

    Traders can access a decent range of 60+ major, minor and exotic forex pairs through standard and ECN accounts with tight spreads from 0.5 and 0.0, respectively. Execution speeds are also faster than most competitors at 50ms, which will appeal to active forex traders.

  58. rating empty
    rating full

    4xCube offers 60+ currency pairs with competitive trading conditions. We like that all trading strategies are permitted including scalping and hedging.

  59. rating empty
    rating full

    ActivTrades offers its lowest fees in the forex department, with excellent spreads on majors like the EUR/USD from 0.5 pips and zero commissions, keeping pricing simple. Improvements to the ActivTrades platform, alongside access to the industry-leading MetaTrader 4, also give traders the tools they need to navigate the FX market confidently.

  60. rating empty
    rating full

    BlackBull offers 64 currency pairs with excellent pricing through its ECN accounts, with the Standard commission-free spread starting from 0.8 pips. BlackBull also ensures its rapid execution carries through to MT4, which still stands as the industry’s most popular platform with active forex traders.

  61. rating empty
    rating full

    RoboForex offers trading on 30+ currency pairs, trailing category leaders like Pepperstone with its 90+ forex assets. That said, the Prime and ECN accounts feature competitive average spreads of 0.1 pips on the EUR/USD. Additionally, with a minimum investment of $100, traders can utilize the CopyFX system to replicate the strategies of seasoned currency traders.

  62. rating empty
    rating full

    Swissquote offers trading on a huge range of forex assets, covering 80+ currency pairs. Spreads start from 1.3 pips with the Premium account and there are zero commissions. Micro, mini and standard lot sizes are available plus options contracts on major currencies.

  63. rating empty
    rating full

    SimpleFX provides a comprehensive selection of around 60 currency pairs, from majors like GBP/USD to exotics like CHF/PLN. Forex trading fees are competitive, averaging 0.9 pips on EUR/USD during testing, while MetaTrader 4, available on desktop, web and mobile, was built specifically for trading currencies online.

  64. rating empty
    rating full

    EagleFX provides opportunities to go long or short on over 50 forex pairs from majors to exotics, with competitive spreads as low as 0.1 pips. The broker offers the leading charting software, MetaTrader 4, which delivers a host of charting tools for traders, including 9 timeframes and over 30 indicators.

  65. rating empty
    rating full

    FXDD continues to offer a leading selection of 90+ currency pairs with ECN pricing. Spreads are decent, coming in at 0.4 pips for EUR/USD during testing. That said, these quotes aren’t as narrow as top competitors like Pepperstone.

  66. rating empty
    rating full

    Trade on 45+ majors, minors, crosses and exotics, with competitive pricing, ultra-fast execution and no requotes. Newer traders can access zero-commission trading. Experienced forex traders can operate with no trading restrictions and benefit from an ECN account and a VPS service.

  67. rating empty
    rating full

    FXTrading clients can access 70+ forex pairs with high leverage up to 1:500, fast execution averaging 80ms, excellent liquidity and spreads from zero. A good selection of minors and exotics are available as well as all the majors. New users can start trading forex in 4 easy steps.

  68. rating empty
    rating full

    With over 190 forex spot pairs, EZ Invest outperforms many rivals in terms of access to the currency markets. Users can also choose between desktop software, a webtrader plus a solid mobile app. On the negative side, spreads aren't the tightest on entry accounts.

  69. rating empty
    rating full

    Trade 50+ forex pairs via the MetaTrader 4 and MetaTrader 5 platforms with leverage up to 1:500, immediate execution, deep liquidity and tight spreads.

  70. rating empty
    rating full

    Fortrade offers 60+ currency pairs including a good selection of majors, minors and exotics. Trading takes place via MT4 or Fortrade's proprietary, low-latency terminal, and spreads on the USD/GBP pair average a reasonable 2 pips.

  71. rating empty
    rating full

    FP Markets stands out as an excellent option for forex traders, boasting a selection of over 70 currency pairs covering a wide range of currencies, especially since expanding its choice of exotics. With average spreads of just 0.1 on the EUR/USD in its Raw account, the broker provides competitive pricing for traders.

  72. rating empty
    rating full

    IronFX continues to offer a strong selection of 80 currency pairs. You can trade through the market-leading MT4 platform with a range of forex market research tools. That said, commission charges in the zero-spread accounts are high, starting from $13.50 per lot.

  73. rating empty
    rating full

    Trade 80+ major, minor and exotic forex pairs. This is a very competitive range of currency pairs with 50+ exotics to choose from, and traders will benefit from fast execution and support from extra features including a pip calculator. The MetaTrader 4 software was also designed for online forex trading.

  74. rating empty
    rating full

    NordFX offers a modest range of 30+ major and minor forex pairs. Disappointingly, there are no exotic pairs, though traders do benefit from tight spreads from 0.0 pips and low commissions from 0.0035% per side. It also provides insightful weekly forecasts covering key forex assets like EUR/USD.

  75. rating empty
    rating full

    HYCM offers 40+ forex pairs, with most available to trade on either the MT4 or MT5 platform. The maximum leverage on offer is 1:30 in accordance with regulations, and tight spreads start from 0.2 on the Raw account and from 1.2 on the commission-free Classic account.

  76. rating empty
    rating full

    Established in 2005, FXOpen is a multi-regulated broker that has attracted over 1 million traders. Designed for active trading, it provides access to a growing selection of more than 700 markets and supports high-frequency trading, scalping, and all forms of algorithmic trading using expert advisors (EAs).

  77. rating empty
    rating full

    Trade 45 major, minor and exotic forex pairs. This is an average range, but the broker offers attractive and very competitive tight floating spreads from 0.3. Useful features including a news feed set the broker apart from many rivals and can help plan forex strategies.

  78. rating empty
    rating full

    Hantec Markets offers a limited range of 30+ forex pairs – less than most top brands, including Pepperstone with 100+. That said, market execution is rapid based on tests, and spreads are competitive starting at just 0.2 pips. This, combined with access to the popular MT4 platform with 30+ technical indicators, ensures a relatively complete trading experience for short-term currency traders.

  79. rating empty
    rating full

    With 60+ currency pairs available, Dukascopy offers enough majors, minors and exotics to keep most forex traders happy. The broker also offers high leverage up to 1:100 – a good amount to see from a reputable and regulated broker. Currency traders have access to excellent software, including MT4 and JForex.

  80. rating empty
    rating full

    Speculate on popular currency pairs with flexible leverage up to 1:500 and zero-pip spreads in the GO Plus account. Commission-free trading is available with micro, mini and standard forex contract sizes.

  81. rating empty
    rating full

    Tier 1 liquidity on an impressive range of 189 currency pairs and spot metals, plus 130 forwards, from 0.4 pips.

  82. rating empty
    rating full

    Trade on 60+ forex pairs with no commission and competitively tight spreads from 0.6 on major pairs such as EUR/USD. This is a good selection of forex pairs and excellent pricing for commission-free trading, well below the industry average.

  83. rating empty
    rating full

    ThinkMarkets offers 46 currency pairs, which is around the industry average. Forex traders can benefit from tight 0.0-pip spreads for EUR/USD during peak market hours. Additionally, the ThinkTrader proprietary platform offers an impressive 125+ technical indicators - ideal for complex forex strategies.

  84. rating empty
    rating full

    FXTM stands out with a strong selection of over 60 currency pairs, surpassing many competitors like AvaTrade. It also stands out with its six currency indices for traders aiming to diversify their forex portfolios, while the ECN account offers ultra-competitive spreads starting at 0 pips on majors, along with low commissions of just $3.50 per lot.

  85. rating empty
    rating full

    Trade FX pairs with tight spreads & leverage.

  86. rating empty
    rating full

    easyMarkets offers 60+ major and minor currency pairs but no exotics. Forex traders will appreciate the access to the industry’s leading software MT4, paired with the broker’s fixed spreads from 0.7 pips on EUR/USD, offering a degree of price certainty.

  87. rating empty
    rating full

    Fusion Markets offers an excellent selection of 90+ currency pairs, providing a range of short-term trading opportunities. It continues to excel for its ultra-tight spreads from 0.0 pips and exceptionally low commissions of $2.25 per side. You also get access to leading forex software in MetaTrader 4.

  88. rating empty
    rating full

    Trade 24 forex pairs via binary options. Such a small range of currency pairs is not that unusual among binary options brokers, and BinaryCent's high payouts up to 95% compensate for the lack of range.

  89. rating empty
    rating full

    Trade 49 major, minor and exotic currency pairs with fixed spreads or ECN pricing with no dealing desk intervention and a low starting deposit. You can analyze the currency markets using the broker's in-house trading platform.

  90. rating empty
    rating full

    FXCM offers an average range of 40+ currency pairs, although there are no commissions and spreads are competitive from 0.78 pips for EUR/USD. The broker also offers 3 forex baskets covering USD, Yen and emerging markets benchmarks.

  91. rating empty
    rating full

    InstaForex's range of 100+ currency pairs is among the largest we have seen. ECN spreads are also available from 0.0 pips with zero commissions. Minimum deposits start from $1 making the broker accessible for beginners. You can also access market-leading forex analysis and insights.

  92. rating empty
    rating full

    Trade 200 CFD forex pairs with DMA pricing and tight spreads, ultra low latency and high leverage up to 1:1000. The range of forex pairs available and pricing model are among the most attractive in the African market.

  93. rating empty
    rating full

    Capital.com offer a long list of forex CFD pairs for trading. All have competitive spreads. The firm also ensures negative balance protection

  94. rating empty
    rating full

    Trade over 180 major, minor, and exotic forex pairs on the Trading 212 platform, featuring floating spreads and leverage up to 1:30. It’s important to note, though, that the forex broker has a history of adjusting margin requirements without providing adequate notice. As a result, CMC Markets is a better pick for forex traders with more currency pairs and a cleaner record.

The USD/CHF Explained

USD/CHF is the value of the US dollar against the Swiss Franc. It is mostly displayed as a single number, for example 0.89, which means that for 1 dollar (the base currency) you’ll be able to purchase 0.89 Swiss Francs (the quote currency). It may also be displayed as a ratio, e.g in 1:0.89. By definition, USD/CHF is a major currency pair. This is because the USD makes up one half of the relationship.

Like any exchange rate currency, the value of the USD vs CHF will move over time. The current price can be obtained by looking at a live forex chart. This will give you the latest view of the pair’s value right now. It is the change in price which makes trading the pair profitable. Successful forex traders will forecast whether the value of the Swiss Franc is likely to rise or fall against the dollar, performing analysis daily, weekly and monthly to aid in their forecasts.

Both the USD and CHF have stable economies underpinning their value. For this reason, both currencies are known as safe havens and volatility is not a problem for the pair. For example, the average daily range was 66 in 2020 vs 131 for GBP/USD in the same date period. However, less volatility also typically means fewer opportunities to make money.

Fundamental Analysis

Fundamental analysis involves looking at macroeconomic factors to make a prediction on the movement of an exchange rate. Certain factors, such as interest rates, inflation and unemployment levels in the market impact a currency’s value. For example, if the Swiss National Bank (SNB) wanted to head off a potential recession, they might lower interest rates to encourage forward spending. This makes lending money less lucrative and therefore devalues the franc vs the dollar.

Experienced traders will be watchful of exchange rate news channels such as Yahoo and Google Finance, Bloomberg and Reuters. These are reliable sources that report on the latest news that is likely to impact such economic factors. They provide an assessment of the FX rate today and projections of USD/CHF movements in the future.

It’s vital that forex traders have a grasp of macroeconomics beyond the charts and graphs when speculating on the USD vs CHF outlook. Those starting out should look outside the real-time live chart, to see the 10, 20, 30 and even 50 year history of USD/CHF.

Switzerland & The Swiss Franc

Despite its geographical location in central Europe, Switzerland is not part of the EU. The small country of just over 8.5 million people has a long history of secrecy and protection of financial assets. In fact, Switzerland holds around one third of all privately held wealth in its banks. It is world-renowned as a safe haven and can attract those who want to evade tax or commit financial crime. For this reason, the value of the Swiss Franc rises in times of economic difficulty.

Despite its infamous stability, in 2015 the Swissy was sitting at 1.20 against the Euro, when the Swiss National Bank abandoned its ceiling value against it. This caused the value of the franc to soar against both the euro and the dollar, trading at a 25% price high compared to before the announcement.

The jump caused many traders to stop out and the stock market to plummet. This served as a warning to central banks not to manipulate exchange rates and led to the development of further protections for retail traders. Since 2015, the yearly average of USD/CHF has steadily fallen. In 2020, it reached 0.939, the lowest in the five-year period.

USA & The Dollar

The dollar is the most traded currency in the world. It makes up one half of all major currency pairs and therefore, half of their trading volume. 20% of Switzerland’s exports go to the US, vs just 1.7% of the US’s to the Swiss. As the world’s reserve currency, the USD is usually a fairly safe bet. In the 2008 financial crisis, the USD held strong while other currencies faltered.

Comparably, as another safe haven currency, the CHF also performed well. The USD/CHF slid 620 pips (5.4%), whilst the pound sterling suffered greatly, GBP/USD saw a drop of 5487 pips.

Technical Analysis

Technical analysis of the USD/CHF involves looking at online price charts and historical data to spot a trend. Since there are profits to be made from minute movements in price, most forex trading strategies involve some level of technical analyses. A weekly market outlook provides traders with a view on whether to buy or sell in the near future. These are closely relied upon by traders with almost any strategy.

USD/CHF Trading Strategies

  • Day trading – The USD/CHF is popular for those who are new to day trading as it’s comparably less volatile than other currency pairs. Day trading involves holding a position for a very short period of time – 5 minute interactive charts are not uncommon. But, no position is held overnight, reducing margin fees and maximising profits.
  • Price action – This form of technical analysis involves generating signals from recent historical price movements. Experienced traders may hunt for pivot points (known as support and resistance lines) in the data and use this to forecast profits today. It is a subjective strategy which can vary from trader to trader based on their prior experience with the forex market.
  • Sentiment trading – Useful for trading futures and options on USD/CHF, this involves using sentiment indicators to understand the volume being traded. If the price was declining but suddenly volume is high, this could mean a bullish trend is likely to begin. Essentially, sentiment trading is based on the psychology of other market traders.

Trading strategy should be unique to the investor’s experience and the forex pair. For example, whilst Elliott Wave analysis might suit the USD/CHF, a carry trade strategy might not because of the low interest rates applied by both national banks. Similarly, arbitrage is a struggle with such a high volume pair. Live streaming data and complex automated bots are primed to pounce at institutional firms, sometimes leaving retail traders behind.

USD/CHF Correlation

Switzerland has close ties to Europe, being surrounded on all sides by the eurozone. Therefore, it’s no surprise that the USD/CHF has an almost perfect negative correlation against the EUR/USD.

Another interesting correlation with USD/CHF is the USD/JPY. The yen and the franc are safe haven currencies. Therefore in times of economic turmoil, investment tends to move to these parts of the world, strengthening their value against the dollar. Currency correlations, therefore, are a great way to supplement and inform trading decisions.

Final Word On Trading USD/CHF

In conclusion, the USD/CHF is a steady currency pair with comparably low volatility compared to its neighbours, the GBP and EUR. This makes it a solid pair for those that are new to daily forex trading as stop outs are less common than other pairs.

However, the Swiss National Bank’s history of manipulating exchange rates mean profits are not guaranteed. Traders should be aware that low volatility does not mean no risk. Careful analysis of indicators, charts and graphs is vital for trading spot forex, exchange traded funds (ETF) and e-micro futures and options.

Find out more about forex trading.

FAQ

What Does USD/CHF Stand For?

USD/CHF refers to the currency pair between the US dollar and the Swiss Franc. The CH stands for ‘Confoederatio Helvetica’ which is latin for the Swiss Confederation.

Is USD/CHF Prone To Volatility?

The USD/CHF does not traditionally see the extreme high low volatility seen by other currency pairs. Both are seen as traditionally safe assets over the long term. With that said, low liquidity and geopolitical events can cause the price to shift significantly.

What Is The Average Broker Spread On USD/CHF?

The latest analysis shows the average spread on the USD/CHF is 2 pips between the bid and the ask. However, in 2015 when the Swiss National Bank announced a removal of the ceiling against the Euro, a movement of over 600 pips was seen in the pair. Therefore, despite it’s often low volatility, there are profits to be made.

At What Time Of Day Can You Trade USD/CHF?

Forex charts and markets are open 24 hours a day from Sunday to Friday. The Swiss Franc is no different. However, trading times do vary in popularity, for example markets tend to be more liquid between 9am and 5pm GMT. For the USD/CHF, the most liquid time of day is between 12pm and 3pm GMT when both US and Swiss traders are active.

Where Can I Find The Best Forecast For USD/CHF?

TradingView is a great source for USD/CHF chart forecasts for today and this week. Investors can find 10, 20, and 30 years of price history in charts. They also offer trading forums where you can discuss projections with other traders and learn new strategies. For fundamental analysis, Bloomberg and Reuters are reliable sources of world news and its impact on the forex market.