According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair’s stance should remain positive as long as it trades above the 0.9875/72 area.
Key Quotes
“USD/CHF has reversed from just below the psychological 1.0000 level and actually charted a key day reversal. It remains underpinned by the 55 day moving average and uptrend at .9875/72 and while above here is positive. The Elliott wave count continues to indicate that the recent move to .9789 was the end of the correction lower. Nearby target is 1.0057, the recent high. This guards the 1.0093/1.0108 (April 2017 high and 78.6% retracement) and then 1.0343, the 2016 high. It is immediately bid above the .9835 4 month uptrend”.
“Failure at 9730/24 (38.2% retracement + 200 day ma) will target the .9535 10th April low and below here will trigger losses to .9425, the 14th March low”.
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