USD/CHF up move faltered ahead of 0.9900

The US Dollar is extending its upbeat mood vs. its main rivals on Tuesday, today sending USD/CHF to fresh tops in the proximity of 0.9900 the figure.

USD/CHF in multi-week peaks

Spot is advancing for the third consecutive week so far, although a sustainable break above the 0.9900 barrier still remains elusive for USD-bulls.

USD met extra buying pressure today following increasing speculations of a Fed’s rate hike at its meeting in December, reflected in a solid performance of US yields. According to CME Group’s FedWatch tool, the probability of higher rates by end of 2016 stays above 63% for the time being.

In addition, USD found earlier support after Chicago Fed C.Evans advocated for a gradual tightening at his comments in Sydney early today, albeit he admitted that policy ‘may well be changing soon’.

On the data front, the Fed’s Labor Market Conditions Index is due later followed by the speech by FOMC’s N.Kashkari (2017 voter, neutral).

USD/CHF key levels

The pair is now up 0.49% at 0.9874 facing the next hurdle at 0.9889 (high Sep.1) ahead of 0.9956 (high Jul.27) and finally 1.0098 (high Mar.10). On the other hand, a breach of 0.9794 (200-day sma) would expose 0.9635 (low Sep.29) and finally 0.9532 (low Aug.18).