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The USD/CHF pair has reached the resistance level of 0.9850, and the probability of further growth remains against the backdrop of the upcoming US Federal Reserve meeting, at which the regulator may raise the rate by 75.0 basis points, which will strengthen the position of the US dollar.

Meanwhile, the EU economy is under pressure: the lack of energy resources, rising inflation, and a slowdown in gross domestic product (GDP) growth, and since Switzerland has close economic ties with the EU, negative factors are reflected in the macroeconomic indicators of this country as well. On Monday, Q2 GDP was published: the value consolidated around 2.8% YoY, which was worse than analysts' expectations of 3.0%, and it added 0.3% QoQ compared to the forecast of 0.4%.

Thus, the likelihood of further weakening of the Swiss franc remains, and the long-term trend in the USD/CHF pair is likely to continue. For the development of positive dynamics, the "bulls" need to overcome the resistance level of 0.9850 and consolidate above it, and then the target for purchases will be 1.0040 around ​​the highs of May-June 2022.

The medium-term trend remains upward. Last week the market participants broke through the target zone 3 (0.9784–0.9771), and the next target for purchases is zone 4 (0.9926–0.9912). The key support is shifting to 0.9729–0.9715, and if the price corrects into this area, then new long positions in the asset should be considered.

Resistance levels: 0.9850, 1.0040. | Support levels: 0.9650, 0.9600.