USD/CHF off-lows, but stays below 0.9900

The CHF bulls were rescued by poor Chinese trade data, which spooked markets and raised demand for the safe-haven CHF at the expense of the greenback.

USD/CHF consolidates near 3-month tops

Currently, the USD/CHF pair trades -0.15% lower at 0.9890, reversing a dip to daily lows struck at 0.9880 post-China open.  The USD/CHF pair stalled a 3-day extensive rally and fell in the red zone after the Swiss franc attempted a minor-recovery on the back of intensifying risk-off trades, in wake of a miss on the Chinese exports and imports numbers.

Moreover, a corrective mode witnessed in the US dollar versus its major peers, also adds to the weakness seen behind USD/CHF pair. The USD bulls are consolidating the latest leg higher, after the FOMC minutes showed a strengthening case for a Fed rate hike this year. All eyes now remain on the US jobless claims and retail sales data for fresh direction on the major.

USD/CHF Technical Levels

To the upside, the next resistance is located at 0.9910 (multi-month highs) and above which it could extend gains to 0.9955 (Jul 27 high) and 1.0000 (parity) next. To the downside, immediate support might be located at 0.9857 (5-DMA) and below that 0.9813 (10-DMA) and from there to 0.9760 (200-DMA).