EUR/CHF weakness is holding, confirming an underlying bearish trend. Bearish target at 1.1463 was hit, placing the next extension level at 1.1352 (21/08/2017 low). Steep decline puts key resistance at 1.1516 (25/05/2017 low).
In the longer term, the technical structure has reversed. Strong resistance at 1.20 (level before the unpeg) is now at reach. The ECB’s slowing QE program is likely to cause buying pressures on the euro, which should weigh in favour of the EUR/CHF. Support and resistance can be found at 1.0624 (24/06/2016 low) and 1.2097 (18/12/2014 high).
