USD/CHF hits fresh multi-week tops, eyeing a move beyond 200-DMA
|- Remains well bid for the second consecutive session, despite a subdued USD demand.
- Initial signs of stability weighed on the CHF’s safe-haven status and remained supportive.
The USD/CHF pair refreshed multi-week tops, around the 0.9855 region in the last hour, albeit seemed struggling to extend the momentum further beyond the very important 200-day SMA.
The pair gained some positive traction for the second consecutive session on Tuesday and built on the overnight goodish intraday up-move of around 75 pips from the weekly bearish gap, triggered by the weekend drone attacks on two major Saudi Arabian oil installations.
Bulls shrug off a subdued USD price action
Resurgent US Dollar demand was seen as one of the key factors behind the previous session's recovery move. With the lacking any strong follow-through on Tuesday, signs of stability in the global financial markets weighed on the Swiss Franc's safe-haven status and remained supportive.
It will now be interesting to see if the pair is able to capitalize on the bullish move or runs out of the steam at higher levels amid absent relevant market moving economic releases from the US and ahead of the highly anticipated FOMC monetary policy meeting, starting this Tuesday.
From a technical perspective, any subsequent buying interest has the potential to lift the pair further towards testing a resistance marked by the top end of a one-month-old ascending trend-channel, currently near the parity mark.
Technical levels to watch
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