Daily Pivots: (S1) 1.0073; (P) 1.0107; (R1) 1.0136; More…..
Intraday bias in USD/CHF remains mildly on the upside for the moment. The rebound from 0.9860 has just resumed. Further rally would be seen to retest 1.0342 high. Based on neutral medium term outlook, we’d be cautious on topping at around 1.0342. On the downside, break of 0.9966 support is needed to confirm completion of the rebound. Otherwise, further rally will remain mildly in favor in case of retreat.
In the bigger picture, prior rejection from 1.0327 resistance argues that USD/CHF is staying in a medium term sideway pattern. In any case, decisive break of 1.0342 resistance is needed to confirm underlying strength. Otherwise, we’ll stay neutral in the pair first. In case of another fall, we’d expect strong support from 0.9443/9548 support zone. Meanwhile firm break of 1.0342 will target 38.2% retracement of 1.8305 to 0.7065 at 1.1359.
