Daily Pivots: (S1) 0.9751; (P) 0.9764; (R1) 0.9785; More…
EUR/CHF’s correction from 0.9995 might extend lower. But downside should be contained above 0.9704 to bring rebound. Whole corrective decline from 1.0095 should have completed at 0.9704. On the upside, break of 0.9847 resistances will turn bias back to the upside for stronger rally back to 0.9995.
In the bigger picture, prior rejection by 55 W EMA (now at 0.9971) and 38.2% retracement of 1.1149 to 0.9407 at 1.0072 suggests that medium term outlook is staying bearish. That is, down trend from 1.2004 is not completed yet and is in favor to resume through 0.9407 at a later stage. However, decisive break of 1.0095 resistance will raise the chance of bullish trend reversal. Rise from 0.9407 should then target 1.0505 cluster resistance (2020 low at 1.0505, 61.8% retracement of 1.1149 to 0.9407 at 1.1484).
