USD/CHF spikes to 1.0100 handle amid notable USD demand

The USD/CHF pair maintained its bid tone for the third consecutive session and inched closer to last week's nearly one-month high level beyond 1.0100 handle. 

Currently trading just below 1.0100 handle, the pair was seen building on to its move back above 100-day SMA amid resurgent US Dollar buying interest in wake of Monday's hawkish comments from the Philadelphia Federal Reserve Bank President Patrick Harker. 

Furthermore, the pair's strong up-move through European trading session, despite of upbeat Swiss trade balance data, further seems to reinforce the underlying recovery trend since the beginning of this month from the very important 200-day SMA support.

The greenback price dynamics would continue to be an exclusive driver of the pair's near-term movement as market participants now look forward to the Fedspeaks and Wednesday's FOMC meeting minutes. Investors will closely scrutinize the minutes in order to gain some fresh insight over the central bank's near-term monetary policy outlook and gauge timing for the next Fed rate-hike move, which would eventually assist them to determine the next leg of directional move for the major.

Technical levels to watch

The ongoing strong bullish momentum now seems to confront resistance near 1.0119 (Feb. 15 high) above which the momentum could get extended towards 1.0170 horizontal resistance, en-route 1.0200 round figure mark. 

Meanwhile on the downside, 1.0065-60 area now seems to act as immediate support, which if broken might drag the pair back towards 100-day SMA support near 1.0020 region. Only a convincing break below 100-day SMA, leading to a subsequent weakness back below parity mark, would negate any near-term bullish bias and turn the pair vulnerable to resume with its prior depreciating move.