USD/CHF extends bullish rebound for fourth straight session

   •  Resurgent USD demand helps extend recovery move.
   •  Risk-on mood dents CHF’s safe-haven appeal.
   •  US data eyed for fresh bullish impetus. 

The USD/CHF pair maintained its bid tone for the fourth consecutive session, with bulls now possibly aiming towards reclaiming the 0.9900 handle.

The pair's bullish bounce from over one-month lows touched on Monday and gained an additional boost from Wednesday's stronger-than-expected US Q3 GDP print. 

Moreover, the recent upsurge in the US Treasury bond yields, along with optimism over the long-awaited tax-cut legislation now seems to be favoring flows towards the US Dollar. 

Adding to this, the prevalent risk-on environment was also seen weighing on the Swiss Franc's safe-haven appeal and further collaborated to the pair's strong up-move to 6-day tops, around 0.9880 level.

Meanwhile, today's mostly in-line Swiss GDP figures for the third-quarter passed largely unnoticed, with the USD price dynamics turning out to be a key driver of the pair's bullish momentum.

Traders on Thursday would now take cues from the incoming US economic data - core PCE price index, personal income/spending data, usual initial weekly jobless claims and Chicago PMI. 

Technical levels to watch

Bulls would be eyeing for a clear break through the 0.9900 handle, above which the momentum could further get extended towards 0.9940 supply zone.

On the flip side, 0.9850 level now seems to act as immediate support, which if broken could accelerate the slide back towards 200-day SMA near the 0.9800 region.