USD/CHF weaker for third straight session, capped at 100-DMA

A softer tone surrounding the greenback weighed on the USD/CHF pair, which traded with mild negative bias for the third consecutive session.

A fresh wave of global risk-off environment, led by rising geopolitical tension, was seen supporting the Swiss Franc's safe-haven appeal. This coupled with possibilities of the US military action against Syria and North Korea and falling US treasury bond yields further drove flows away from the greenback. In fact, the key US Dollar Index extended its corrective slide from near 3-week highs and drifted farther below the 101.00 handle, which has eventually resulted into the pair's corrective slide from near one-month highs touched on Monday. 

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With an empty US economic docket, broader market risk sentiment would continue to be a key determinant of the pair's movement on Wednesday.

Looking at the broader picture, the pair's ongoing retracement could be corrective, following its recent upsurge of nearly 300-pips over the past two-weeks, from late March's 4-1/2 month lows in the vicinity of the 0.9800 handle. 

Technical levels to watch

Currently trading around 1.0065 region, immediate support is pegged near 1.0050 level, below which the pair is likely to slide towards 1.0020-15 horizontal support en-route the key psychological support near the parity mark. 

On the upside, sustained move back above 100-day SMA immediate hurdle near 1.0080 region now seems to lift the pair beyond the 1.0100 handle, and 1.0115 intermediate resistance, towards testing its next major hurdle near 1.0130-35 zone.