Daily Pivots: (S1) 1.0986; (P) 1.1021; (R1) 1.1079; More…
EUR/CHF formed short term bottom at 1.0962 after drawing support from 61.8% projection of 1.2004 to 1.1173 from 1.1476 at 1.0962. Bullish convergence condition is also seen in 4 hour MACD. Stronger recovery could be seen to 55 day EMA (now at 1.1146). But strong resistance should be seen at 1.1172 to limit upside to bring fall resumption. On the downside, break of 1.0962 will target 100% projection at 1.0645 next.
In the bigger picture, current development firstly suggests that down trend from 1.2004 is still in progress. More importantly, it’s likely a long term down trend itself, rather than a correction. Outlook will remain bearish as long as 1.1476 resistance holds. EUR/CHF could target 1.0629 support and below.
