USDCHF breaks significant resistance 0.99685 on board-based US dollar buying. DXY gained momentum after upbeat US NFP data. The US economy has added 263K jobs in Sep compared to a forecast of 265000. The unemployment rate dropped to 3.5% vs3.7% the previous month.
According to the CME Fed watch tool, the probability of a 75 bpbs rate hike in Nov rose to 78.1% from 56.5% a week ago.
Technically in the 4-hour chart, the pair is holding above short-term (21- and 55 EMA) and 200 EMA (0.97563). Any break above 1.000 will take the pair to 1.0065/1.0130/1.0240. USDCHF hits an intraday high of 0.99911 and is currently trading around 0.99776.
The near-term support is around 0.9935 and any breach below targets 0.9900/0.9850/0.9780.
Indicators (4-hour chart)
CCI (50)- Bullish
ADX- Bullish
It is good to buy on dips around 0.9960 with SL around 0.9900 for a TP of 1.0120.


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