USD/CHF corrects further to test daily pivot

The USD/CHF pair breaks lower in early Europe after a brief consolidation phase witnessed in early Asian trades, with markets closely tracking broad based USD correction.

USD/CHF back below 1.0300

Currently, the USD/CHF pair extends its retreat below 1.03 handle, as the US dollar stalled its bullish run against its main competitors. The US dollar rallied to fresh fourteen-year highs after markets cheered Fed’s outright hawkishness as projected in its Dots chart plan.

Markets looked past the SNB’s monetary policy decision and comments from SNB Chairman Jordan, as the major remained highly influenced by the Fed-driven USD moves. Nothing of note for the spot in the European session ahead, and hence, attention turns towards the US housing data due later in NA session.

USD/CHF Technical Levels

To the upside, the next resistance is located at 1.0331 (Nov 2015 high) and above which it could extend gains to 1.0344 (multi-year high) and 1.0400 (round figure) next. To the downside, immediate support might be located at 1.0277 (daily pivot) and below that 1.0254 (Feb 2016 high) and from there to 1.0200 (zero figure).