Daily Pivots: (S1) 0.9899; (P) 0.9958; (R1) 0.9999; More…
USD/CHF’s sharp fall and break of 0.9925 minor support suggests rejection by 1.0008 support turned resistance. Recovery from 0.9854 should have completed at 1.0014 and larger fall from 1.0237 is ready to resume. Intraday bias is turned back to the downside. Break of 0.9854 will confirm this bearish case and target 0.9716 support next. For now, outlook will remain bearish as long as 1.0014 resistance holds, in case of recovery.
In the bigger picture, USD/CHF’s break of long term trend line support is the first indication of medium term reversal. That is, rise from 0.9186 (2018 low) could have completed at 1.0237 already). Sustained break of 38.2% retracement of 0.9186 to 1.0237 at 0.9836 will confirm and target 61.8% retracement at 0.9587. However, strong rebound from 0.9836 will revive medium term bullishness for 1.0237 and above.
