USD/CHF testing 5-week tops near 0.9830, NFP eyed

The USD/CHF pair is seen building onto yesterday’s gains and flirts near multi-week highs reached earlier this week amid persistent broad based US dollar strength.

USD/CHF awaits US payrolls

Currently, the USD/CHF pair trades 0.17% higher near fresh session highs of 0.9828, extending gains further beyond 0.98 handle. The US dollar is strongly bid against the Swiss currency, as the bulls remain expectant of a stronger payrolls report, while a 6% sell-off in cable also added to ongoing strength behind the greenback. The USD index gains +0.37% to 97.07, rising for the first above 97 handle since July.

However, the upside remains capped as persisting risk-off sentiment lends some support to the safe-haven bids for the Swiss franc.  Markets now eagerly await the US NFP report due later in the NA session for further incentives on the major.

USD/CHF Technical Levels

To the upside, the next resistance is located at 0.9850 (psychological levels) and above which it could extend gains to 0.9889 (Sept 1 high) and 0.9900 (round number) next. To the downside, immediate support might be located at 0.9758 (200-DMA) and below that 0.9731 (50-DMA) and from there to 0.9643/35 (Sept 30 & 2 low).