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  • USD/CHF prints four-day winning streak, on the bids near 7.5-month top flashed the previous day.
  • Markets couldn’t cheer Biden’s infrastructure plan but Aussie covid updates and Pfizer vaccine news help tame the bears.
  • US dollar refrains from extending Wednesday’s pullback moves.
  • Swiss Retail Sales, CPI and US ISM Manufacturing PMI will be the key data to watch.

USD/CHF prints mild intraday gains worth 0.10% while staying firm around the intraday top of 0.9448 during Thursday’s Asian session. In doing so, the quote struggles to justify the market sentiment but rather follows the US dollar’s rebound ahead of the key data.

A mixed play between S&P 500 Futures and the US 10-year Treasury yield, even with recently small moves, justifies the traders’ indecision.

While looking for the clues, US investors’ meh to President Joe Biden’s $2.25 trillion plan, amid fears of rejection in the Senate, join Brazil’s new covid variant detection to weigh on the sentiment. Also on the negative side could be Johnson and Johnson’s likely inability to deliver committed vaccine supplies amid factory mishap. Furthermore, the US-China tussle and the fears of North Korea’s weapon building are an extra burden to the

On the contrary, Pfizer’s 100% vaccine efficacy for Children and no new covid cases in Australia’s New South Wales (NSW), coupled with no extension of virus-led lockdown in Brisbane, favor risk-on mood. Additionally, upbeat economics from the global leader and faster vaccinations battle the pessimists.

It should, however, be noted that the US dollar index (DXY) picks up bids after easing from the November 2020 high the previous day. The reason for the greenback’s strength could be traces to the hopes of faster recovery of the world’s largest economy.

Looking forward, Switzerland’s Consumer Price Index and Retail Sales, for March and February respectively, will entertain USD/CHF traders ahead of the US ISM Manufacturing PMI data for March.

Read:  ISM Manufacturing Purchasing Managers’ Index March Preview: Consumer confidence reinforcement

Technical analysis

Although the mid-July 2020 top near 0.9470 guards the quote’s immediate upside, USD/CHF bears are less likely to enter above 0.9360.