USD/CHF is under pressure. The pair is trading below its declining 20-period and 50-period moving averages, which play resistance roles and maintain the downside bias. The relative strength index is below its neutrality level at 50 and lacks upward momentum.

Federal Reserve Chairwoman Janet Yellen pointed out that an interest rate increase this month would be appropriate and that rates are likely to rise faster this year. Meanwhile, Federal Reserve Vice Chairman Stanley Fischer also said that a rate increase was justified by a run of consistently solid economic data.

On the economic data front, the ISM non-manufacturing composite index improved to 57.6 in February (vs. 56.5 expected) from 56.5 January.

To conclude, as long as 1.0135 is not surpassed, look for a further drop to 1.0060 and 1.0040 in extension.

Resistance levels: 1.0150, 1.0165, and 1.0185

Support levels: 1.0060, 1.0040, and 1.000