USD/CHF Mid-Day Outlook

Daily Pivots: (S1) 0.9967; (P) 0.9997; (R1) 1.0055; More…

USD/CHF’s rally continues to as high as 1.0067 so far today. Break of 1.0056 high suggests that whole up trend from 0.9186 is resuming. Intraday bias stays on the upside for 61.8% projection of 0.9186 to 1.0056 from 0.9787 at 1.0325, which is close to 1.0342 key resistance. On the downside, below 1.0013 minor support will turn intraday bias neutral first. But downside of retreat should be contained well above 4 hour 55 EMA (now at 0.9947) to bring another rally.

In the bigger picture, rise from 0.9186 is seen as a leg inside the long term range pattern. After drawing support from 55 day EMA, it’s now resuming for 1.0342 key resistance. For now, we’d still cautious on strong resistance from there to limit upside. Meanwhile, break of 0.9787 support is needed to signal completion of the rise. Otherwise, outlook will remain bullish even in case of deep pull back.