USD/CHF pulls away from 2020 highs, trades around 0.9820

US Dollar Index starts retracing weekly rally on Friday.
Major European equity indexes post small daily losses.
Coming up: Markit Manufacturing and Services PMI reports from US.

Eren Sengezer FXStreet

The USD/CHF pair touched its highest level since late December at 0.9849 on Thursday but lost its traction on Friday. As of writing, the pair was trading at 0.9823, losing 0.16% on a daily basis.

USD weakens after impressive rally

A broad-based USD weakness seems to be allowing the pair to edge lower on Friday. The US Dollar Index (DXY) gained a total of 0.75% in the last three trading days and rose to its highest level since April 2017 at 99.91. With the major European currencies attracting some investor interest on the back of upbeat PMI data, the USD lost its strength and the DXY was last seen down 0.17% on the day at 99.70.

Meanwhile, major European equity indexes are posting small daily losses to reflect a neutral market sentiment, which allows the USD's market valuation to drive the pair's movements.

In the second half of the day, the IHS Markit's preliminary Manufacturing and Services PMI for the US will be looked upon for fresh catalysts. Additionally, FOMC members Brainard, Mester and Clarida will be delivering speeches.

Technical levels to watch for

USD/CHF

Overview
Today last price	0.9822
Today Daily Change	-0.0017
Today Daily Change %	-0.17
Today daily open	0.9839

Trends
Daily SMA20	0.9752
Daily SMA50	0.9741
Daily SMA100	0.983
Daily SMA200	0.9859

Levels
Previous Daily High	0.9851
Previous Daily Low	0.9815
Previous Weekly High	0.9823
Previous Weekly Low	0.974
Previous Monthly High	0.9768
Previous Monthly Low	0.9613
Daily Fibonacci 38.2%	0.9837
Daily Fibonacci 61.8%	0.9829
Daily Pivot Point S1	0.9819
Daily Pivot Point S2	0.9799
Daily Pivot Point S3	0.9783
Daily Pivot Point R1	0.9855
Daily Pivot Point R2	0.9871
Daily Pivot Point R3	0.9891

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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