USD/CHF rises to a fresh one-month high ahead of ADP report

Extending its bullish momentum for ninth straight session, the USD/CHF pair rose to a fresh one-month high near mid-0.9800s before retracing few pips to currently trade around 0.9835 ahead of ADP report.

The greenback continue to gain traction on increasing prospects of an eventual Fed rate-hike decision after last week's rhetoric from various Fed policymakers, including the Fed Chair Janet Yellen during her speech at Jackson Hole symposium, and helped the major to move back above the very important 200-day SMA.

The pair, however, now seems to consolidate at higher levels as markets now await for the release of this week's key US macro economic indicator, non-farm payrolls, which would help investors to evaluate the possibilities of a Fed action in September and eventually trigger the next leg of move for the US Dollar. 

Up next, ADP report on US private sector employment, which will be followed by Chicago PMI and pending home sales data. A better-than-expected private sector jobs growth would help build on to expectations of yet another strong headline NFP print and continue boosting the pair higher.

Technical levels to watch

Sustained move above 0.9850 immediate resistance is likely to boost the pair immediately towards 0.9900 round figure mark, with 0.9870-75 area acting as intermediate resistance. Meanwhile, decisive break back below 200-day SMA support near 0.9825 region seems to drag the pair immediately towards 0.9800 handle.