USD/CHF Daily Outlook

USD/CHF Daily Outlook

Daily Pivots: (S1) 0.8892; (P) 0.8937; (R1) 0.8963; More...

Intraday bias in USD/CHF remains on the downside for 0.8889 low. Break will resume larger decline and should target long term retracement level at 0.8861. On the upside, above 0.8983 minor resistance will turn bias neutral and bring consolidations first.

In the bigger picture, price action from 0.9971 is viewed as a medium term consolidation pattern. The failure to break through 55 weeks EMA (now at 0.9250), and current acceleration argue that more downside would be seen before the consolidation completes. Break of 38.2% retracement of 0.7065 to 0.9971 at 0.8861 will extend the fall to 50% retracement at 0.8518.