Daily Pivots: (S1) 0.9795; (P) 0.9811; (R1) 0.9828; More….
As noted before, the rebound from 0.9420 could have completed at 1.0037 already. Deeper fall would be seen back to 61.8% retracement of 0.9420 to 1.0037 at 0.9565. We’ll look for bottoming again below 0.9565. On the upside, break of 0.9946 resistance will indicate that the decline from 1.0037 has completed and bring retest of this resistance.
In the bigger picture, current development suggests that USD/CHF has defended 0.9443 (2016 low) key support level again. Rise from 0.9420 could be a medium term up move and should target a test on 1.0342 high. This represents the upper end of a long term range that started back in 2015. In case pull back fro 1.0037 extends, we’d still expect the long term support at 0.9420 to hold.
