USD/CHF Likely to Build Onto Its Moves Back Above 0.9900
The USD/CHF
pair reversed from its early losses to 0.9883 and turned back above
0.9900 handle as the overall USD strength gained traction in last couple
of hours.
The pair is currently trading up around 0.1% at 0.9915 level, a whisker
away from a 10-week high level of 0.9927 touched on Friday, which might
pose immediate barrier for the pair.
With no major economic releases from the US on Monday, market
participants will look forward to comments from St. Louis Fed President
James Bullard later during NY session, which could provide further boost
to USD bulls. Investors will also look forward to Switzerland's trade
balance data for April, scheduled for release on Tuesday.
Technical levels to watch
Momentum beyond Friday’s high seems to gain traction, assisting the pair
immediately towards 0.9945-50 resistance, beyond which the pair seems
all set to reclaim parity.
On the flip side, weakness below day’s through support near 0.9980 level
is likely to trigger an immediate slide back towards 100-day and
200-day SMA’s confluence resistance break-point, now turned strong
support, near 0.9835-30 region.
