USD/CHF flirting with session tops, eyeing 0.97 mark ahead of US data

The USD/CHF pair built on previous session's strong up-move and touched a six-day high level of 0.9673 in the last hour.

The pair's latest leg of up-move could be attributed to a fresh wave of greenback buying interest, pushing the key US Dollar Index through the 93.00 handle. A solid USD recovery, from the post-North Korean headlines swing lows, has been one of the key factors helping the pair to build on its sharp recovery move from 2-year lows touched on Tuesday.

This coupled with continuous improvement in investors' risk appetite, as depicted by strong gains across European equity markets was also seen driving flows away from perceived safer currencies - like the Swiss Franc and further collaborated to the pair's strong bid tone.

Traders would now take cues from today's US economic docket, featuring the release of personal income/spending data, core PCE price index, weekly jobless claims, Chicago PMI and pending home sales data. 

   •  US: Chicago PMI, PCE inflation and Personal income and spending in focus - TDS

Technical levels to watch

Bulls would be eyeing to conquer the 0.9700 handle, above which the pair is likely to accelerate the up-move towards 50-day SMA hurdle near the 0.9730-35 region.

On the flip side, 0.9640-35 zone now seems to protect the immediate downside, which if broken would turn the pair vulnerable to break below the 0.9600 handle and head towards testing 0.9580 support.