USD/CHF Weekly Outlook

USD/CHF’s rise from 0.8756 resumed by breaking through 0.9374 resistance. Further rise is expected this week as long as 0.9212 support holds. next target is 61.8% retracement of 0.9901 to 0.8756 at 0.9464. Break there will target 0.9901 resistance next. On the downside, break of 0.9212 support is needed to confirm short term topping. Otherwise, outlook will stay mildly bullish in case of retreat.

In the bigger picture, fall from 1.0237 should have completed at 0.8756, on bullish condition in daily and weekly MACD. Current rally from 0.8756 should target 0.9901 resistance first. Break there will target 1.0237/0342 resistance zone in the medium term. This will now remain the favored case as long as 0.9044 resistance turned support holds.

In the long term picture, price actions from 0.7065 (2011 low) are currently seen as developing into a long term corrective pattern, at least until a firm break of 1.0342 resistance.