USD/CHF, USD/JPY and USD/MXN Forecasts – US Dollar Rallies with Rates in America
By Christopher Lewis | Published: Apr 28, 2026
Overview
The US dollar has experienced a notable rally as interest rates in the United States have risen. This article provides a detailed technical analysis of three currency pairs: USD/CHF, USD/JPY, and USD/MXN, highlighting key levels and potential trading strategies.
USD/CHF Analysis
The USD/CHF pair has tested the significant 0.79 level, which is considered a psychological barrier and an area of previous support. A break above this level could lead to further gains, potentially targeting the 200-day Exponential Moving Average (EMA). The author suggests a bullish outlook, particularly favoring buying on dips.
USD/JPY Analysis
Initially, the USD/JPY pair saw a decline but has since shown signs of recovery. The 160 yen level is identified as a critical resistance point, with a breakout above 160.40 yen indicating a long-term bullish scenario. The author notes that pullbacks to the 50-day EMA and the 158 yen level may present buying opportunities.
USD/MXN Analysis
In the USD/MXN pair, the US dollar has rallied, but the 17.50 level remains a significant resistance point, coinciding with the 50-day EMA. The author expresses caution, suggesting that traders may look to fade the rally unless US interest rates decline. The current interest rate differential still favors Mexico, but tightening conditions could diminish its attractiveness.
Conclusion
The article emphasizes the importance of interest rates in driving currency movements and suggests that traders should remain vigilant for potential buying opportunities in the USD/CHF and USD/JPY pairs while exercising caution in the USD/MXN pair. The analysis provides a comprehensive view of the current market dynamics affecting these currency pairs.