USD/CHF holding recovery gains at 0.9700 level

The USD/CHF pair held on to its recovery gains but has failed to attract follow through buying interest and remained stuck around 0.9700 handle.

With the global financial markets fading US presidential debate-led relief rally, risk-aversion make a comeback amid a retracement in crude oil prices ahead of a key meeting of major oil producers in Algeria. 

Earlier on Tuesday, the pair staged a recovery after retesting 0.9660 support and remained unaffected by the prevalent risk-off sentiment, which usually drive safe-haven flows out of the US Dollar towards the Swiss France. 

On the economic data front, the Conference Board's US Consumer Confidence Index for September would be the key highlight during NY trading session and would be followed by a speech from Federal Reserve Vice Chairman Stanley Fischer.

Technical levels to watch

A follow through buying interest above 0.9710-15 region should trigger a short-covering rally immediately towards 50-day SMA resistance near 0.9745, which could further get extended towards 100-day SMA near 0.9760 region.

On the downside, weakness back below 0.9690 immediate support, and a subsequent drop below session low support near 0.9660, would negate any bullish bias and turn the pair vulnerable to immediately slide to 0.9615 horizontal support.