USD/CHF testing lows near 0.9825

The USD/CHF pair faced rejection ahead of 0.9850 barrier and reverted to the familiar range around 0.9825 region, on the back of deteriorating risk conditions as reflected by negative European Stoxx 50 futures.  

USD/CHF runs through strong resistance near 0.9855

Currently, the USD/CHF pair trades modestly flat near session lows of 0.9822, unable to sustain at higher levels. The major came under fresh selling pressure over the last few hours, as the US dollar extended previous losses against its major peers. Hence, the DXY now drops -0.18% to 96.40 levels.

Meanwhile, a gradual deterioration in the risk sentiment also keeps any recovery in USD/CHF short-lived. The Asian stocks pared gains at close, while the Euro Stoxx 50 futures dropped -0.20% in early European trading.

Markets now await the Fed speeches from Tarullo and Bullard ahead of the US JOLTS jobs opening data due later in the NA session.

USD/CHF Technical Levels

To the upside, the next resistance is located at 0.9858 (200-DMA)and above which it could extend gains to 0.9873 (multi-week tops). To the downside, immediate support might be located at 0.9800 (round number) and below that 0.9782/67 (10 & 50-DMA).