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  • CHF retreats but still holds to significant gains versus Euro.
  • EUR/CHF heads for the seventh slide out of the last eight days.

The EUR/CHF pair is falling sharply on Wednesday and from last week highs lost more than 3%. During the European session bottomed at 1.1580, the lowest level since early March. From the lows bounced to the upside rising back on top of 1.1600.

The recovery from the lows found resistance at 1.1645 and it was trading at 1.1635, down 60 pips for the day and a hundred for the week.

The Swiss Franc is among the top performers of the week.   Italian politics and risk aversion supported the demand for the Swissy. The decline in EUR/CHF also contributed to general CHF strength.

Technical levels

The bearish momentum eased during the last hours but if EUR/CHF drops back under 1.1600 it could emerge again. Support levels might be seen at 1.1595, 1.1580 (May 23 low) and 1.1555. On the upside, resistance levels could be located at 1.1665, 1.1695/1.1700 and 1.1725/30 (May 18 low).