USD/CHF’s decline from 1.0027 accelerated to as low as 0.9841 last week. Initial bias is now on the downside with focus on 0.9843. Sustained break there will indicate that choppy rebound from 0.9659 has completed at 1.0027. Deeper fall should be seen to 0.9659 support and below. On the upside, above 0.9904 minor resistance will turn focus back to 1.0027 instead.
In the bigger picture, corrective fall from 1.0237 should have completed at 0.9659 already, ahead of 61.8% retracement of 0.9186 to 1.0237 at 0.9587. But decisive break of 1.0237 is needed to indicate up trend resumption. Otherwise, medium term outlook will stay neutral first. Meanwhile, break of 0.9695 support will extend the correction to 0.9541 support instead.
In the long term picture, price actions from 0.7065 (2011 low) are not clearly impulsive yet. Thus, we’ll treat it as developing into a corrective pattern, at least, until a firm break of 1.0342 resistance.
