EUR/CHF’s breach of 0.9520 support argues that fall from 1.0095 is resuming. But as it recovered after hitting 0.9513, initial bias is neutral this week first. Further decline is expected as long as 0.9599 resistance holds. Break of 0.9513 will target 61.8% projection of 0.9840 to 0.9520 from 0.9646 at 0.9448.
In the bigger picture, medium term outlook is staying bearish as the pair is capped well below falling 55 W EMA (now at 0.9839). Down trend from 1.2004 (2018 high) is in favor to continue. Sustained break of 0.9407 will target 61.8% projection of 1.1149 to 0.9407 from 1.0095 at 0.9018. For now, this will remain the favored case as long as 0.9670 support turned resistance holds, in case of strong rebound.
In the long term picture, outlook remains bearish as it’s staying well below 55 M EMA (now at 1.0421). Break of 1.00095 resistance is needed to be the first sign of bottoming, or the multi-decade down trend is expected to continue.
