USD/CHF rebounds, eyes 1.00

FXStreet (Mumbai) - USD/CHF staged a robust comeback in the mid-Asian session, in an attempt to inch closer to parity, as the US dollar recover some of yesterday’s heavy losses after the FOMC statement reflected a dovish tone while keeping rate hikes on the cards.

USD/CHF rises from 0.9771

Currently, the USD/CHF gains 1.06% and trades and trades at fresh session highs of 0.9889 levels, having previously posted session lows at 0.9771 levels. The pair bounced-back sharply on a short-covering rally as the traders resort to lock-in profits after USD/CHF plunged to fresh two week lows last night's on FOMC statement, which was largely received as more dovish than anticipated.

The US dollar index which measures the relative strength of the greenback against a basket of six major currencies rebounds to 98.27, recording a 0.91% loss on the day.

Meanwhile, USD/CHF is likely to continue its recovery mode in a bid to regain parity ahead of US macro data later in the day.

USD/CHF Technical Levels

To the upside, the next resistance is located at 1.00 levels and above which it could extend gains to 1.0071 levels. To the downside, immediate support might be located at 0.9800 levels and below that at 0.9715 levels.