USD/CHF’s rebound from 0.8756 resumed by taking out 0.9044 resistance last week. initial bias is now on the upside this week for 100% projection of 0.8756 to 0.9044 from 0.8869 at 0.9127 next. Break there will target 0.9181 support turned resistance. On the downside, through, break of 0.9025 minor support will turn bias neutral again first.
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.
In the long term picture, price actions from 0.7065 (2011 low) are currently seen as developing into a long term corrective pattern, at least until a firm break of 1.0342 resistance.
