**BREAKING: USD/CHF Drops Below 0.8100 as Dollar Rally Stalls Despite Hot Inflation Data**
The USD/CHF pair retreated below the 0.8100 level during Thursday’s North American trading session, declining 0.34% as the US dollar’s six-day winning streak came to an abrupt halt. The pullback occurred despite US Core PCE inflation data coming in hotter than expected, which would typically support dollar strength. Instead, falling US Treasury yields triggered the reversal, pressuring the greenback lower against the Swiss franc.
Technical analysts note a “tweezer top” pattern has formed on the charts, a bearish reversal signal that suggests further downside potential for the currency pair. The development marks a significant shift in momentum after nearly a week of consistent dollar gains. Traders focused on USD/CHF should monitor whether the pair can reclaim the 0.8100 threshold or if additional selling pressure emerges.
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FXnCO Insight
** Dollar longs should exercise caution as falling Treasury yields are overriding inflation concerns, creating tactical shorting opportunities in USD/CHF below 0.8100 with stops above the tweezer top formation.
Source: FXStreet