USD/CHF erases tepid recovery gains, flat-lined near 1.0050

The USD/CHF pair's attempted recovery move ran through some offers near 1.0080 and the pair has now retraced back to currently trade near yesterday's 12-day closing low. 

After an initial up-move to 1.0180 region, the pair on Monday reversed sharply and dropped to its lowest level since Nov. 17. In the process, the pair broke below a 100-pips consolidative range, possibly suggesting further corrective slide in the near-term. 

Investors on Tuesday will focus on the Swiss CPI, due in some time, which if come-in to show even a slight improvement in consumer prices might confirm the break-down and attract fresh selling pressure around the major. 

Later during the day, US economic docket that includes - revised non-farm productivity, trade balance data and factory orders would be looked upon for further impetus during NA session. However, the broader trend would remain dependent on market expectations of Fed's monetary policy stance, beyond December meeting. 

Technical levels to watch

A follow through selling pressure below 1.0050 (yesterday's low) is likely to accelerate the slide towards 1.0015 intermediate support before the pair heads towards retesting parity mark. On the upside, 1.0080 level (session peak) now seems to have emerged as immediate resistance above which the pair is likely to aim towards 1.0100 handle before heading towards its next resistance near 1.0140 region.