USD/CHF’s fall from 0.9196 resumed last week and accelerated to as low as 0.8475. But a temporary was formed with subsequent recovery. Initial bias is turned neutral this week for consolidations first. Recovery should be limited by 0.8757 support turned resistance. Below 0.8475 will target 100% projection of 0.9196 to 0.8757 from 0.8854 at 0.8415.
In the bigger picture, rejection by 0.9223 key resistance keep medium term outlook bearish. That is, larger fall from 1.0342 (2017 high) is not completed yet. Firm break of 0.8332 (2023 low) will confirm down trend resumption. Next target is 61.8% projection of 1.0146 (2022 high) to 0.8332 from 0.9196 at 0.8075.
In the long term picture, price action from 0.7065 (2011 low ) are seen as a corrective pattern to the multi-decade down trend from 1.8305 (2000 high). Fall from 1.0342 (2016 high) is seen as the second leg. Firm break of 61.8% retracement of 0.7065 to 1.0342 at 0.8317, will pave the way back to 0.7065.
