USD/CHF rallies could struggle near 1.0045 – Commerzbank

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, rallies in USD/CHF should find strong resistance around 1.0045.

Key Quotes

“USD/CHF continues to hold above the .9956 May 2016 high and .9947 50% retracement. We note a TD perfected set up on the daily chart and we look for a small rebound. Currently the market is indicating that rallies will terminate circa 1.0045. Rallies will find initial resistance at 1.0088, this is the location of the near term resistance line and the market will need to overcome this downtrend in order to alleviate downside pressure and signal a recovery to the 1.0248 11th January high and the 1.0328 2015 and 1.0344 December 2016 highs”.

“Below .9955/40 there is potential for a slide to the 200 day ma at .9869”.