Daily Pivots: (S1) 0.9900; (P) 0.9945; (R1) 0.9973; More…
Intraday bias in USD/CHF remains on the downside as the correction from 1.0056 is still in progress. Further decline would be seen to trend line (now at 0.9819). We’d expect strong support from there to contain downside and bring rebound. On the upside, above 0.9956 minor resistance will bring retest of 1.0056 high first.
In the bigger picture, medium term decline from 1.0342 has completed with three waves down to 0.9186. Rise from there is currently viewed as a leg inside the long term range pattern. Hence, while further rally would be seen, we’d be cautious on strong resistance from 1.0342 to limit upside. For now, further rise is expected as long as 38.2% retracement of 0.9186 to 1.0056 at 0.9724 holds.
