USD/CHF Mid-Day Outlook

Daily Pivots: (S1) 1.1234; (P) 1.1288; (R1) 1.1347; More

USD/CHF recovers mildly after diving to 1.1126 earlier today. Nevertheless, correction from 1.1486 is probably still in progress. Further decline is still in favor to 1.1086 cluster support (50% retracement of 1.0693 to 1.1486 at 1.1089). On the upside, above 1.1341 resistance will flip intraday bias back to the upside for retesting 1.1486 high. But a break there is now needed to confirm recent rise has resumed. Otherwise, consolidation from there might extend further.

In the bigger picture, prior break of 1.1416 indicates that medium term rally from 0.9634 has resumed for next two cluster resistance, 1.1596 (161.8% projection of 0.9634 to 1.0623 from 1.0010 at 1.1610) and 1.1878 (61.8% retracement of 1.3283 to 0.9634 at 1.1889). On the downside, while interim pullback might be deep, break of 1.0693 is needed to confirm that rise rise from 0.9634 has completed. Otherwise, medium term outlook will remain bullish.

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