USD/CHF snaps winning streak, turns lower on disappointing ISM print

Following the release of disappointing US ISM manufacturing PMI print, the USD/CHF pair extended the pull-back from multi-week lows and erased all of its daily gains.

Currently hovering around 200-day SMA, the pair turned into negative territory and dropped to a fresh session low near 0.9800 region, snapping 9-days of winning streak, after ISM manufacturing surprisingly dropped into contraction territory and came-in at 49.4, which was far lower than 52.0 expected and 52.6 recorded in July. 

Other economic data released from the US showed weekly jobless claims rose by 2k to 263k, while the revised estimate of second-quarter non-farm productivity showed a fall of 0.6% as compared to 0.5% reported previously. 

Mixed economic data failed to provide further boost to the already buoyant sentiment surrounding the greenback. Markets now turn their attention to this week's key event risk, US monthly jobs report - popularly known as NFP, which is known to infuse substantial volatility across global financial markets.

Technical levels to watch

Immediate downside support is now seen at 0.9800 round figure mark below which the pair is likely to accelerate the slide immediately towards 50-day SMA support near 0.9765. Meanwhile on the upside, 0.9840-50 region now turns immediate hurdle, which if cleared should boost the pair towards 0.9900 round figure mark before eventually rising to its next major resistance near 0.9950 level in the near-term.