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In opinion of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the upside pressure in the pair should be restored beyond the critical 1.0000 level.

Key Quotes

USD/CHF has recovered enough to neutralise our outlook. The recent break below its near term support line was not sustained and the market has moved back into its range. It will need to regain 1.0000 in order to restore upside pressure and while below here we are unable to rule out a slide down towards .9744/24 (38.2% retracement + 200 day ma) where ideally we will see the market stabilise. Failure at 9724 will target the .9535 10th April low and below here will trigger losses to .9425, the 14th March low”.

“Above 1.0000 targets 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”.