USD/CHF drops sharply to test Monday’s low

The USD/CHF pair witnessed some aggressive selling towards late-Asia, as the Swiss franc rallied across the board as risk-off remained in full swing ahead of a batch of crucial economic releases. 

USD/CHF eyes 0.9700

Currently, the USD/CHF pair trades -0.23% lower at fresh session lows of 0.9713, extending retreat from near 0.9740. The major accelerates to the downside in early Europe, as the CHF bulls cheer persistent risk-off market profile, which underpins the bids for the traditional safe-haven Swiss franc.

Moreover, the offered tone behind the US dollar gathered pace over the last few hours, accentuating the downside in the USD/CHF pair. The USD index, which measures greenback’s relative strength, drops -0.23% to a new two-day lows of 95.34.

Focus now remains on the US CPI, industrial production and housing data due later in the NA session for further momentum on the pair.

USD/CHF Technical Levels

To the upside, the next resistance is located at 0.9770/75 (10 & 50-DMA) and above which it could extend gains to 0.9800 (round number). To the downside, im

mediate support might be located at 0.9700 (round figure) and below that 0.9679 (daily S2).