USD/CHF Daily Outlook

Daily Pivots: (S1) 1.0302; (P) 1.0335; (R1) 1.0369; More

Outlook remains unchanged as USD/CHF continues to engage in sideway trading below mentioned 1.0352/83 resistance zone. As discussed before, while USD/CHF struggles to take out 1.0352/83 resistance zone, as well as short term falling trend line (now at 1.0337) decisively, the short term bearish outlook in EUR/USD argues that current rally in USD/CHF is more likely to continue than not. Having said that, intraday bias remains on the upside as long as 1.0271 minor support holds. Above 1.0430 will encourage further rise to 100% projection of 0.9634 to 1.0249 from 0.9907 at 1.0522 first. On the downside, below 1.0271 will turn intraday outlook neutral first. .

In the bigger picture, focus remains on 1.0352/83 resistance zone (50% retracement of 1.1105 to 0.9634 at 1.0370 and 38.2% retracement of 1.1596 to 0.9634 at 1.0383). Firm break of this resistance zone will indicate that that fall from 1.1596 has completed and a medium bottom is probably in place at 0.9634 . Stronger rally should than be seen to resistance zone of 1.0890 to 1.1596. However, bouncing off from this resistance, followed by a break of 0.9995 will indicate that rebound from 0.9634 has completed and will bring retest of this low.

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