USD/CHF flirting with daily lows, below mid-0.9700s
- USD/CHF continued with its struggle to make it through 200-DMA barrier near 0.9800 mark.
- Some aggressive USD selling bias exerted some intraday bearish pressure on the major.
- The downside remains cushioned amid a further improvement in the global risk sentiment.
The USD/CHF pair refreshed daily lows, around the 0.9720 region during the early North-American session, albeit quickly retreated few pips thereafter.
The pair failed to capitalize on its intraday positive move back closer to one-month tops and once again faced rejection near the very important 200-day SMA, around the 0.9800 mark amid some aggressive US dollar selling.
The latest optimism over the gradual easing of coronavirus-induced lockdowns and a push to accelerate the re-opening of the economies across the world dented the greenback's status as the global reserve currency.
Meanwhile, the upbeat market mood was evident from a strong rally in the global equity markets, which undermined the Swiss franc's safe-haven demand and turned out to be a key factor that extended some support to the pair.
Bulls, so far, have managed to defend an important resistance breakpoint around the 0.9700 round-figure mark, which coincides with 100-day SMA and should now act as a key pivotal point for short-term traders.
On the economic data front, the Conference Board's US Consumer Confidence Index fell sharply to 86.9 for April as compared to the previous month's downwardly revised reading of 118.8, albeit failed to provide any meaningful impetus.
Hence, it will be prudent to wait for some strong follow-through selling below the mentioned level before confirming that the pair might have topped out in the near-term and positioning for any further corrective slide.
Technical levels to watch