USD/CHF picks up bids to consolidate the biggest daily loss in a week around 0.9560 during Friday’s mid-Asian session. In doing so, the Swiss currency (CHF) pair justifies upbeat signals from the options market as traders await the key US employment report for July.
That said, one-month USD/CHF risk reversal (RR), a difference between call and put options, printed the three-day uptrend while flashing a 0.080 figure by the end of Thursday’s North American session.
With this, the options market gauge braces for the biggest weekly gains in five as the RR prints the 0.180 mark for the week.
The recovery moves, however, remain elusive as the US dollar Index (DXY) struggles to snap a two-week downtrend amid softer yields and recession fears.