USD/CHF losses momentum after reaching 1-month highs

The US dollar lost strength across the board during the American session and trimmed gains. USD/CHF reached 0.9769, the highest level in a month before reversing. 

The pair dropped to 0.9695 and at the moment it trades at 0.9710, up less than 20 pips from yesterday’s close. The short-term bias now points to the downside. 

The US dollar lost strength after hitting critical technical levels, following comments from Fed’s official and probably amid some profit taking. While the Swiss franc outperformed and reached fresh highs versus its European rivals. Traders now await US President Trump speech.

Donald Trump’s speech Live Indianapolis - Tax Reform Rollout

USD/CHF Levels to watch 

The pair today was rejected from levels on top of 0.9750. The same situation happened back in August before the drop to 0.9420/25 (late Aug, Sep low). On a wider perspective, the uptrend still remains in place but it is facing a strong resistance area. It needs to consolidate above the 0.9750/70 zone in order to clear the way to more gains. 

To the downside, around 0.9690 an uptrend line from September lows is seen. A break of that level could push the price to the floor of the 0.9650 - 0.9750 trading range.