Daily Pivots: (S1) 1.0869; (P) 1.0886; (R1) 1.0910; More…
A temporary low is formed at 1.0863 in EUR/CHF and intraday bias is turned neutral first. Upside of recovery should be limited by 1.0937 resistance to bring another decline. On the downside, break of 1.0863 will extend the fall from 1.1059 to retest 1.0811 low. On the upside, above 1.0937 minor resistance will bring stronger recovery, but we’d still expect strong resistance from 1.1062 cluster resistance (38.2% retracement of 1.1476 to 1.0811 at 1.1065) to limit upside.
In the bigger picture, down trend from 1.2004 is (2018 high) is still in progress. More importantly, it’s likely a long term down trend itself, rather than a correction. Further fall should be seen to 1.0629 support and possibly below. On the upside, break of 1.1162 support turned resistance is needed to be the first sign of medium term bottoming. Otherwise, outlook will remain bearish in case of rebound.
