USD/CHF Rebounds from 14-Year Low as SNB Decision Approaches

USD/CHF has risen 0.5% from its 14-year low of 0.8375, currently trading at 0.8417 as markets position ahead of the Swiss National Bank's policy decision. The pair hit its lowest level since 2011 earlier this week, driven by persistent Swiss franc strength amid global economic uncertainties and safe-haven flows. The SNB faces a challenging dilemma with limited tools to weaken the franc without risking imported inflation. Markets expect the central bank to maintain its current policy stance, though verbal intervention remains possible. Technical indicators suggest oversold conditions, with the RSI below 30 supporting a near-term bounce. Immediate resistance lies at 0.8450, while support remains firm at the recent 0.8375 low. Traders should monitor the SNB's tone regarding currency strength, as any hints of concern could trigger further USD/CHF upside, while acceptance of franc appreciation would likely resume the downtrend.