USD/CHF near term stance is negative – Commerzbank

In light of the recent sell off, the near term outlook on the pair stays negative, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“USD/CHF has eroded .9720, the 78.6% retracement, but we have not seen a close below here and the doji on the daily chart does suggest that we are likely to see a small bounce. Intraday rallies are indicated to terminate circa .9770/.9820”.

“Below here the market is on track for .9550/43 (the 200 week ma)”.

“It is directly offered below the 200 day ma at .9965, which protects the key resistance is now the 1.0108 April high”.