Daily Pivots: (S1) 1.0073; (P) 1.0107; (R1) 1.0136; More…..
USD/CHF lost momentum after hitting 1.0140 and retreated. With 4 hour MACD crossed below signal line, intraday bias is turned neutral. With 0.9966 minor support, further rise is still expected. Above 1.0140 will target 1.0342 high. Based on neutral medium term outlook, we’d be cautious on topping at around 1.0342. Meanwhile, break of 0.9966 will indicate completion of the rebound. And intraday bias will be turned back to the downside for 0.9860.
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.
