USD/CHF falls to 2-month lows

USD/CHF dropped from 1-week highs to the lowest since November in a few hours. The pair peaked hours ago at 1.0044 (highest since January 20) and then reversed sharply in the market, on the back of a correction of the US dollar across the board. It bottomed at 0.9933, the lowest since mid-November. 

Currently, it trades around 0.9950/55, about to post a daily close below the key area of 0.9960, that could signal a bearish continuation. 

The Swiss franc is among the top performers on Monday. EUR/CHF is trading at the lowest since June, below 1.0650. The pair weakened further after comments from Ewald Nowotny, member of the European Central Bank ’s governing council. He said that the ECB won’t discuss tapering in March. 

USD/CHF levels to watch 

To the upside, resistance might be seen at 0.9965 (Jan 25, 26 & 27 low) and 1.0045 (daily high) and 1.0085 (Jan 05 low). On the downside, support could be seen at 0.9930/35 (daily low) and 0.9900 (psychological / Oct 26 low).