USD/CHF stalling in Asia ahead of SNB rate decision

• SNB is widely expected to hold on rates until after the ECB moves first.
• Stable growth in Swiss economy has SNB watching from the sidelines.

The USD/CHF pair is testing near 0.9440 and is drifting steadily lower in the Asia session.

The Dollar recovered against the Swiss Franc after tanking in the early Tokyo markets, but the upside potential proved limited and the pair is now sifting sideways with a lack of motivation in either direction. 

Today will see the Swiss National Bank's (SNB) Interest Rate Decision as well as the SNB Bulletin at 08:30 GMT. The SNB's interest rate is safe at -0.75%, and it is unlikely that the rate will change until after the European Central Bank (ECB) begins to normalize their policy. Analysts expect the SNB to stand pat on rates until the 4th quarter of 2019, but ultimately it will depend on the ECB and their fiscal policy going forward.

The Swiss economy has been steady as of late, and the SNB will not be looking to disrupt that balance. 

USD/CHF Technicals

The Dollar has lifted against the Swiss Franc since mid-February's low of 0.9187, but the recent turnaround from 0.9534 sees the pair running into resistance-turned-support from the 34 EMA, and a push higher will need to see the pair push through resistance at the last swing high of 0.9480 on H4 charts, and the March high of 0.9534. Meanwhile, a continued decline will face support at the last swing high and 34 EMA confluence at 0.9424, last week's swing low of 0.9357.