USD/CHF corrects farther from parity mark on weaker USD

   •  Extends post-FOMC rejection slide on weaker USD.
   •  Reviving safe-haven demand adds to the pressure.
   •  US ISM PMI eyed for some fresh trading impetus.

The greenback lost some ground on Thursday, with the USD/CHF pair reversing all of its previous session gains to the highest level since November 2017.

The pair snapped its recent winning streak and is now retreating from the very important parity mark amid broad-based US Dollar weakness. The Fed did not provide any clues about the future policy tightening cycle, which disappointed the bulls and prompted USD long-unwinding trade. 

Meanwhile, a weaker trading sentiment around equity markets, amid uncertainty over the US-China trade talks, further benefitted the Swiss Franc's safe-haven appeal and collaborated to the pair's retracement slide through the early European session.

Currently holding just above mid-0.9900s, the release of US ISM non-manufacturing PMI would now be looked upon in order to grab some short-term trading opportunities later during the early NA session. 

Technical levels to watch

A follow-through retracement below 0.9950 level is likely to accelerate the slide towards 0.9920 level en-route the 0.9900 handle. On the upside, bulls would be eyeing for a clear breakthrough the parity mark, above which the pair is likely to aim towards testing Nov. 2017 swing highs resistance near the 1.0035-40 region.