USD/CHF Price Analysis: Prepares for a fresh three-year high above 1.0070

• Strengthening of the risk-off impulse has underpinned the greenback bulls.
• The DXY has crossed the immediate hurdle of 113.00 as yields soar.
• Advancing 20-and 50-EMAs add to the upside filters.

The USD/CHF pair has overstepped its immediate hurdle at 1.0050 in the Tokyo session and is pulling up socks to test a three-year high at 1.0074, recorded on October 13. A dismal market mood led by late selling in S&P500 amid upbeat yields has underpinned the greenback bulls.

The 10-year US Treasury yields reached 4.23% amid soaring bets on an expectation of a bumper rate hike announcement by the Federal Reserve (Fed). Meanwhile, the US dollar index (DXY) has crossed the critical hurdle of 113.00, at the press time.

On a daily scale, the asset is trading closely around the supply zone, placed in a narrow range of 1.0048-1.0074. The 20-and 50-period Exponential Moving Averages (EMAs) at 0.9931 and 0.9823 respectively, are vertical towards the north side, which adds to the upside filters.

Simultaneously, the Relative Strength Index (RSI) (14) is seeking a confident shift into the bullish range of 60.00-80.00. An occurrence of the same will strengthen the greenback bulls further.

Should the asset oversteps October 13 high at 1.0074, the asset will expose to a fresh three-year high. The major will towards the round-level resistance of 1.0100, followed by 15 April 2019 high at 1.0160.

Alternatively, the Swiss franc bulls could regain strength if the asset violates September 29 low at 0.9742. This would drag the pair toward September 19 high and September 22 low at 0.9695 and 0.9620 respectively.

USD/CHF daily chart