Daily Pivots: (S1) 0.8973; (P) 0.8988; (R1) 0.9005; More….
USD/CHF’s rally extends to as high as 0.9030 so far today. Break of 0.8998 support turned resistance argues that it’s now, at least, correcting the whole decline from 0.9901 to 0.8756. Intraday bias stays on the upside for 38.2% retracement of 0.9901 to 0.8756 at 0.9193. On the downside, below 0.8982 minor support will turn bias neutral and bring some consolidations first, before staging another rally.
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 0.9295 resistance is needed to signal medium term bottoming. Otherwise, outlook will remain bearish in case of rebound.
