Daily Pivots: (S1) 0.8823; (P) 0.8854; (R1) 0.8884; More….
USD/CHF is still staying below 0.8918 resistance for now and intraday bias remains neutral. On the upside, firm break of 0.8918 will indicate short term bottoming, on bullish convergence condition in 4 hour MACD. Intraday bias will be turned back to the upside for stronger rebound, back towards 0.8998 support turned resistance. Though, rejection by 0.8918 will maintain bearishness. On the downside, break of 0.8756 will target long term projection level at 0.8639.
In the bigger picture, decline from 1.0237 is seen as the third leg of the pattern from 1.0342 (2016 high). There is no clear sign of completion yet. Next target will be 138.2% projection of 1.0342 to 0.9186 from 1.0237 at 0.8639. In any case, break of 0.9304 resistance is needed to signal medium term bottoming. Otherwise, outlook will remain bearish in case of rebound.
