USD/CHF firm above 0.9800 handle, eyeing 200-DMA

The USD/CHF pair is seen building on to last week's recovery staged from 50-day SMA and is now inching back close to the very important 200-day SMA resistance near 0.9850.

On Friday, the pair managed to erase all of its early losses after strong-than-expected US retail sales and in-line with estimated CPI print provide the much needed respite for the US Dollar. 

The pair on Monday benefited from easing worries over an attempted military coup in Turkey over the weekend that has been the key factor driving investors away from the perceived safety of the Swiss Franc. 

It is worth noticing that the pair has repeatedly failed to sustain its strength / conquer 200-day SMA but has held 50-day SMA immediate support, suggesting a range bound move as the pair await fresh impetus for near-term direction.

Technical levels to watch

On a sustained move above 200-day SMA immediate resistance near 0.9845-50 region, the pair seems to immediately jump to 0.9900 handle ahead of retesting May highs resistance near 0.9945-50 region. 

On the flip side, weakness back below 0.9800 handle could get extended back towards 50-day SMA support near 0.9765 region, before the pair heads towards 100-day SMA support near 0.9740 region. A convincing break below 100-day SMA support now seems to open room for additional weakness further towards the pair's next major support near 0.9650 level.