FXStreet (Mumbai) – A fresh bid wave hit the USD post-European open, pushing USD/CHF to fresh session highs beyond 0.99 handle.
USD/CHF heading towards 0.9950 – psychological levels
Currently, the USD/CHF pair gains 0.22% to trade at fresh session highs posted at 0.9930 last minutes. The major extends its winning streak into a third-day and surpasses most major moving averages on daily chart on the back of the renewed strength witnessed in the US dollar across the board. The USD index now rises 0.23% to 97.47 – at fresh session highs.
The Swiss franc continues to suffer versus its American counterpart as the growing imbalances between global central banks’ monetary policy outlooks continue to favour the USD bulls, as the Fed and BOE remain the only two central banks to remain on policy normalization path.
In the day ahead, the major is likely to get influenced by the US ADP, trade balance and ISM services PMI report. Besides, a flurry of Fed speaks will also remain in focus for more clues on the Fed rate hike timings.
USD/CHF Technical Levels
To the upside, the next resistance is located 0.9959/60 (Oct 28 & 29 High) levels and above which it could extend gains to 1.1000 (Parity). To the downside, immediate support might be located at 0.9889 (5-DMA) and below that at 0.9857 (1h 200-SMA).
(Market News Provided by FXstreet)