ZURICH: The Swiss franc ticked higher against the greenback on Tuesday, though market players were cautious of taking big positions ahead of policy decisions by the US and Swiss central banks this week.
The US Federal Reserve's announcement is due at 1815 GMT on Tuesday. The dollar has supported by signs of improvement in the world's biggest economy, and the Fed may not apply fresh stimulus.
The Swiss National Bank, which set a cap of 1.20 per euro on the safe-haven franc in September, makes its policy decision at 0830 GMT on Thursday. It is virtually certain to stick with the cap and keep its benchmark rate target at nil.
"It has been a slow start to the trading week and we expect more of the same today with caution the main theme," said Informa Global Markets analyst Tony Nyman.
The outlook for the euro zone remains shaky, in contrast to a brightening economic picture in the United States.
"Of course there is the SNB to come," Nyman also said. "Overall we think USD/CHF can head higher towards 0.9250."
The franc rose 0.1 percent against the dollar to trade at 0.9154 by 0638 GMT compared to the New York close.
The franc was flat against the euro at 1.2053.
Technical analysts at Commerzbank said they saw intraday support for dollar/Swiss at the 0.9066 mark.
"We will adopt a bullish stance near term while trading above this zone," they said. "We maintain that the 0.8931 low is a short term floor for the market."
The Swiss parliament will hold a special session on the SNB on Wednesday, scheduled after SNB chief Philipp Hildebrand quit in January over a currency trading controversy.
Parliamentarians are likely to reject a motion demanding tighter oversight of the SNB's foreign exchange interventions as well as a proposal for the government to consider more measures to further weaken the franc.
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