USD/CHF consolidating below 1.0300 handle

After once again failing to sustain its move beyond 1.0300 mark, the USD/CHF pair traded with mild negative bias below the said handle. 

Currently trading around 1.0280-75 region, a mild US Dollar profit-taking slide, from the highest level since December 2002, is the only factor weighing on the major. 

The downslide, however, has been limited as hawkish Fed forecast and prospects of faster US economic growth, led by president-elect Donald Trump's proposed aggressive fiscal policies, continues to underpin the greenback. Moreover, the prevalent risk-on mood, as depicted by buoyant sentiment surrounding equity markets, is extending little support to the Swiss Franc's safe-haven appeal and further contributing to the pair's range-bound price action. 

A relatively thin US economic docket, featuring the only release of existing home sales, might provide some impetus during early NA session on Wednesday. However, Thursday's important US macro releases, including the final reading of US GDP growth for third quarter of 2016, would now be looked upon for fresh indications over the strength of the US economy, eventually influencing market expectations of future Fed monetary policy stance and would provide fresh impetus for the pair's next leg of directional move.

Technical levels to watch

On the downside, immediate support is seen at 1.0260 level below which the corrective slide could get extended towards 1.0220 (Monday's low) ahead of 1.0200 round figure mark. On the upside, sustained bullish momentum above 1.0300 psychological mark has the potential to lift the pair back towards last week's multi-week high resistance near 1.0340-45 region.