USD/CHF inching closer to 100-DMA support

The USD/CHF pair extended corrective slide from nearly two-month tops touched last week and touched a two-week low during European session on Monday.

Currently trading around 1.0075-80 region, the pair traded in negative territory for the third consecutive session and is now inching closer to the 100-day SMA support in wake of post-NFP US Dollar corrective slide. Friday's dismal average hourly earnings growth from the US triggered a broad based retracement in the US treasury bond yields and prompted long-dollar unwinding trade.

In absence of any major economic releases on Monday, a follow through greenback selling pressure extended the pair's slide through European session on Monday. Investors now look forward to the Fed rate-hike confirmation on Wednesday, and policymakers' updated economic projections, before committing for the pair's near-term trajectory. 

Technical levels to watch

A follow through retracement below 100-day SMA support near 1.0060-55 region now seems to open room for continuation of the pair's corrective slide towards 1.0010 intermediate support, en-route the next important support near 0.9970-65 area.

On the upside, momentum back above the 1.0100 handle seems to lift the pair towards 1.0135 resistance before aiming towards multi-month highs resistance near 1.0170 region.